Attorney General Dana Nessel’s bold move in launching a Michigan climate lawsuit could reshape the state’s environmental and economic future.
LANSING, MI – Michigan Attorney General Dana Nessel announced an unprecedented legal initiative targeting the fossil fuel industry’s role in climate change. This effort aims to recoup costs incurred from environmental damages impacting Michigan’s economy and natural resources.
“Our ‘Pure Michigan’ way of life faces growing risks due to the devastating effects of climate change,” Nessel stated. “It’s time to hold those responsible for prioritizing profits over our communities accountable.”
Major Legal Firms to Represent Michigan
Michigan Capital Confidential reported that the state has enlisted three law firms—Sher Edling LLP, DiCello Levitt LLP, and Hausfeld LLP—renowned for litigating high-profile environmental and consumer protection cases. These firms, based outside Michigan, bring expertise in handling climate-related litigation. Their compensation is tied to the outcomes, ensuring no upfront costs to taxpayers.
The contract outlines significant financial stakes for the law firms, who will receive up to 16.67% of recoveries under $150 million and 7.5% for higher amounts after discovery.
Environmental and Economic Toll on Michigan
The lawsuit seeks to address damages caused by severe weather, disrupted tourism, and economic losses. Climate impacts, such as shorter ski seasons and unpredictable agricultural yields, directly affect Michigan’s identity and industries.
Michigan’s energy and environmental policy expert Jason Hayes warns of broader economic fallout, stating, “This litigation could lead to increased costs for customers and job losses in the oil and gas sector.”
Fossil Fuel Revenue Contributions Highlight Complexity
Critics question the lawsuit’s implications, citing Michigan’s reliance on fossil fuel royalties. The Michigan Natural Resources Trust Fund (MNRTF), funded by oil and gas leases, has supported over $1 billion in land acquisition and development projects since 1976.
Royalties currently feed the Michigan State Parks Endowment Fund, essential for sustaining state parks. This underscores the challenge of balancing environmental accountability with economic reliance on fossil fuel revenues.
Part of a Nationwide Trend
Similar lawsuits have emerged in 15 other states, pushing for industry accountability for climate deception. Michigan’s strategy reflects growing frustration over the inaction on climate policy at the federal level.
Nessel emphasized the urgency, stating, “If successful, this lawsuit could set a national precedent, compelling fossil fuel companies to take responsibility for their actions.”
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