City and County of Honolulu v. Chevron Corp. ICA Order Granting in Part and Denying in Part Motion to Dismiss, filed 07/22/2022 [ada].

CourtHawaii Intermediate Court of Appeals
DecidedJuly 29, 2025
DocketCAAP-22-0000135
StatusPublished

This text of City and County of Honolulu v. Chevron Corp. ICA Order Granting in Part and Denying in Part Motion to Dismiss, filed 07/22/2022 [ada]. (City and County of Honolulu v. Chevron Corp. ICA Order Granting in Part and Denying in Part Motion to Dismiss, filed 07/22/2022 [ada].) is published on Counsel Stack Legal Research, covering Hawaii Intermediate Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
City and County of Honolulu v. Chevron Corp. ICA Order Granting in Part and Denying in Part Motion to Dismiss, filed 07/22/2022 [ada]., (hawapp 2025).

Opinion

FOR PUBLICATION IN WEST'S HAWAI#I REPORTS AND PACIFIC REPORTER

Electronically Filed Intermediate Court of Appeals CAAP-XX-XXXXXXX 29-JUL-2025 06:46 AM Dkt. 111 OP

IN THE INTERMEDIATE COURT OF APPEALS

OF THE STATE OF HAWAI#I

–––O0O–––

CITY & COUNTY OF HONOLULU AND HONOLULU BOARD OF WATER SUPPLY, Plaintiffs-Appellees, v. CHEVRON CORP; CHEVRON USA INC., Defendants-Appellants, and SUNOCO LP; ALOHA PETROLEUM, LTD.; ALOHA PETROLEUM LLC; EXXON MOBIL CORP.; EXXONMOBIL OIL CORPORATION; ROYAL DUTCH SHELL PLC; SHELL OIL COMPANY; SHELL OIL PRODUCTS COMPANY LLC; BHP GROUP LIMITED; BHP GROUP PLC; BHP HAWAII INC.; BP PLC; BP AMERICA INC.; MARATHON PETROLEUM CORP.; CONOCOPHILLIPS; CONOCOPHILLPS COMPANY; PHILLIPS 66; PHILLIPS 66 COMPANY; AND DOES 1 through 100, inclusive, Defendants-Appellees

NO. CAAP-XX-XXXXXXX

APPEAL FROM THE CIRCUIT COURT OF THE FIRST CIRCUIT (CIVIL NO. 1CCV-XX-XXXXXXX)

JULY 29, 2025

WADSWORTH, PRESIDING JUDGE, AND McCULLEN, J., AND CIRCUIT JUDGE COPELAND, J., IN PLACE OF NAKASONE, CHIEF JUDGE, AND LEONARD, HIRAOKA, AND GUIDRY, JJ., ALL RECUSED

OPINION OF THE COURT BY WADSWORTH, J.

Plaintiffs-Appellees City and County of Honolulu and Honolulu Board of Water Supply (together, Plaintiffs) have sued several oil and gas producers (together, Defendants) alleging that their marketing practices have misled the public about the FOR PUBLICATION IN WEST'S HAWAI#I REPORTS AND PACIFIC REPORTER

dangers of their products, contributing to climate change and resulting injuries to Plaintiffs. While the case has been said by some to raise novel legal issues, this appeal concerns an ordinary choice-of-law dispute between Plaintiffs and Defendants- Appellants Chevron Corporation and Chevron USA Inc. (together, Chevron or the Chevron Defendants). The Chevron Defendants, which until recently were both headquartered in California, brought a motion in the lower court to dismiss the case against them under California's anti-SLAPP (strategic lawsuit against public participation) law (the Anti-SLAPP Motion). The anti- SLAPP law is designed to protect persons from lawsuits intended to chill their free speech or petitioning activities related to public issues. The Chevron Defendants argued that California's Anti-SLAPP law bars Plaintiffs' claims in this case, because they arise from Chevron's speech on issues of public interest. They further argued that their Anti-SLAPP Motion should be judged under California law, rather than Hawaii's own anti-SLAPP law, which was more limited in scope than the California version when the motion was filed. The lower court rejected Chevron's argument that California law should apply and denied the motion. The Chevron Defendants appeal from the "Order Denying Chevron Defendants' Special Motion to Strike and/or Dismiss the Complaint Pursuant to California's Anti-SLAPP Law" (Order Denying Anti-SLAPP Motion) entered on February 15, 2022, in the Circuit Court of the First Circuit (Circuit Court).1/ Chevron contends that the Circuit Court erred by: (1) failing to apply California's anti-SLAPP law, where California had the most significant interest in the Anti-SLAPP Motion; and (2) not granting the Anti-SLAPP Motion and dismissing Plaintiffs First Amended Complaint (FAC) with prejudice. We hold that the Circuit Court correctly concluded that California law did not apply to Chevron's Anti-SLAPP Motion. In determining choice-of-law issues, Hawai#i courts look to the state with the most significant relationship to the parties and subject matter. See Mikelson v. United Servs. Auto. Ass'n, 107

1/ The Honorable Jeffrey P. Crabtree presided.

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Hawai#i 192, 198, 111 P.3d 601, 607 (2005). This flexible approach involves assessing the interests and policy factors involved "with a purpose of arriving at a desirable result in each situation." Id. at 198, 111 P.3d at 607. Here, the Circuit Court considered the respective interests of California and Hawai#i implicated by the Anti-SLAPP Motion, including California's interest in protecting speech allegedly emanating from that state, along with Hawaii's interest in protecting its residents from the alleged misconduct and resulting harm suffered in Hawai#i. Based on a careful balancing of multiple relevant factors, the Circuit Court properly concluded that California law should not apply to the anti-SLAPP Motion. We therefore affirm the Order Denying Anti-SLAPP Motion.

I. Background

The Hawai#i Supreme Court's published opinion in City & Cnty. of Honolulu v. Sunoco LP, 153 Hawai#i 326, 537 P.3d 1173 (2023), provides a thorough summary of the procedural background of this case prior to late-2023. As relevant to the current appeal, on March 22, 2021, Plaintiffs filed the FAC against Chevron and the other defendants. In summary, Plaintiffs allege: (1) greenhouse gas emissions, which are largely a byproduct of the combustion of fossil fuels, are causing global warming and climate disruption, which in turn has caused the atmosphere and oceans to warm, sea levels to rise, snow and ice cover to diminish, oceans to acidify, and hydrologic systems to change; (2) Defendants' conduct, including their efforts to deceive about the consequences of the normal use of their fossil fuel products and to conceal the hazards of those products, has caused a substantial portion of global atmospheric greenhouse gas concentrations, the attendant climate disruption, and Plaintiffs' injuries; (3) Defendants knew or should have known about the dangers associated with their fossil fuel products; (4) Defendants did not disclose these known dangers to consumers, the public, and regulators, and instead "affirmatively acted to

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obscure those harms and engaged in a concerted campaign to evade regulation," including through misleading advertising; (5) in contrast to their public statements, a variety of Defendants' actions evidence their internal acknowledgment of the reality of climate change and its likely consequences; (6) Defendants' actions have increased the costs of mitigating the adverse effects of climate change; and (7) Defendants continue to mislead about the impact of their products on climate change through deceptive advertisements and promotional materials that do not disclose the risks of their products. Plaintiffs allege that they have sustained damages caused by Defendants' failure to warn and deceptive promotion of their dangerous products. Plaintiffs claim that Defendants' conduct "is a substantial factor in causing global warming and consequent sea level rise and attendant flooding, erosion, and beach loss in the County; increased frequency and intensity of extreme weather events in the County, including hurricanes and tropical storms, 'rain bomb' events, drought, heatwaves, and others; ocean warming and acidification that will injure or kill coral reefs in the County's waters; habitat loss of endemic species in the County, and range expansion of invasive and disease carrying-pest species; diminished availability of freshwater resources; and the cascading social, economic, and other consequences of those environmental changes." Plaintiffs allege that due to Defendants' conduct, Plaintiffs have suffered damage to their facilities and property, incurred increased planning and preparation costs to adapt communities to global warming's effects, collected less tax revenue due to impacts on tourism, and suffered the cost of public health impacts such as an increase in heat-related illnesses.

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City and County of Honolulu v. Chevron Corp. ICA Order Granting in Part and Denying in Part Motion to Dismiss, filed 07/22/2022 [ada]., Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-and-county-of-honolulu-v-chevron-corp-ica-order-granting-in-part-and-hawapp-2025.