DD Oil Co v. The West Virginia Department of Environmental Protection

CourtDistrict Court, S.D. West Virginia
DecidedSeptember 19, 2025
Docket2:24-cv-00101
StatusUnknown

This text of DD Oil Co v. The West Virginia Department of Environmental Protection (DD Oil Co v. The West Virginia Department of Environmental Protection) is published on Counsel Stack Legal Research, covering District Court, S.D. West Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
DD Oil Co v. The West Virginia Department of Environmental Protection, (S.D.W. Va. 2025).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF WEST VIRGINIA

CHARLESTON DIVISION

DD OIL CO a West Virginia Corporation, et al.,

Plaintiffs,

v. CIVIL ACTION NO. 2:24-cv-00101

WEST VIRGINIA DEPARTMENT OF ENVIRONMENTAL PROTECTION, ET AL.,

Defendants.

MEMORANDUM OPINION AND ORDER

Pending before the Court is defendants West Virginia Department of Environmental Protection, Secretary Harold Ward, Director Katheryn Emery, and four unnamed John Does’ (“Defendants”) Motion to Dismiss the Amended Complaint. (ECF No. 29.) For the reasons that follow, the Court GRANTS IN PART and DENIES IN PART Defendants’ Motion. I. BACKGROUND DD Oil Company and Drilco Oil and Gas Corporation (“Plaintiffs”) are two West Virginia based corporations that are affiliated with one another. (ECF No. 28 at ¶¶ 1–2.) Both Plaintiffs engage in the “oil and gas” business, (id.), though it is unclear from the Amended Complaint what exactly that entails. Defendants are state agencies and officials who apparently are tasked with enforcing West Virginia’s environmental laws. (See id. at ¶¶ 3–5.) At some point, Plaintiffs drew the attention of Defendants. Between 2016 and 2022, Defendants performed site visits of Plaintiffs’ facilities. (See id. at ¶¶ 14–19.) Based on those visits, Defendants allegedly issued documentation of inspection violations (“Notices of Violation”) corresponding with those site visits. (Id.) Upon Plaintiffs’ belief, there was “no factual or legal basis” to issue the Notices of Violation, and the service of those notices were not proper. (See, e.g., id. at ¶ 44.) Nevertheless, the Notices of Violation remained unacted upon for years. (See id. at ¶ 20.)

In 2022, Plaintiffs filed suit against some of the Defendants in the U.S. District Court for the Northern District of West Virginia alleging “similar claims for violations of its federal constitutional rights” (“Previous Federal Suit”). (Id. at ¶ 21.) That suit was settled in August 2023. (Id. at ¶ 22.) In March 2023, Defendants set about to enforce the Notices of Violation through civil action. (See id. at ¶¶ 14–19.) Defendants initiated three suits (collectively referred to here as the “Civil Enforcement Suits”). The first was filed in Ritchie County Circuit Court on March 3, 2023, alleging three violations of West Virginia law. (Id. at ¶ 14.) The second was filed on March 16, 2023, in Kanawha County Circuit Court, alleging an additional six violations of West Virginia

law. (Id. at 18.) The third was filed in Roane County Circuit Court on March 30, 2023, alleging five more violations of West Virginia law. (Id. at ¶ 16.) Plaintiffs allege that Defendants had “no basis for or intention to assert the claims” in Civil Enforcement Suits until after Plaintiffs filed their Previous Federal Suit. (Id. at ¶ 23.) Plaintiffs filed their Amended Complaint on December 2, 2024. (Id.) In the Amended Complaint, Plaintiffs raise six causes of action: (1) retaliation for protected First Amendment activity under 42 U.S.C. § 1983; (2) violations of Plaintiffs’ Fourteenth Amendment due process rights under § 1983; (3) violations of Article III, §§ 7, 10, and 17 of the West Virginia Constitution;

2 (4) abuse of process; (5) civil conspiracy; and (6) general negligence. (Id. at ¶¶ 34–101.) All of these allegations stem from Defendants’ use and alleged abuse of the process for issuing Notices of Violation and for initiating the Civil Enforcement Suits. (See generally id.) Plaintiffs seek “only injunctive relief, punitive damages, and attorney’s fees, costs and expenses” from Defendant WVDEP, and “injunctive relief, punitive damages, attorney’s fees, costs and expenses, plus

monetary damages for monetary loss and non-monetary loss” from the rest of the Defendants. (See, e.g., id at ¶¶ 100–101.) Defendants timely filed their Motion to Dismiss and accompanying memorandum in support on January 10, 2025. (ECF Nos. 29, 30.) Plaintiffs were permitted to file an untimely response brief on July 17, 2025, (ECF No. 33), and Defendants timely filed their reply. (ECF No. 35.) The matter is now ripe for adjudication. II. LEGAL STANDARD Federal Rule of Civil Procedure 12(b)(6) allows for a complaint to be dismissed for failing “to state a claim upon which relief can be granted.” Fed. R. Civ. P. 12(b)(6). A motion to dismiss

tests the legal sufficiency of a plaintiff’s complaint. See Ashcroft v. Iqbal, 556 U.S. 662, 677–80 (2009). At the Rule 12(b)(6) stage, a court must “assume the truth of all facts alleged in the complaint and the existence of any fact that can be proved, consistent with the complaint's allegations.” E. Shore Markets, Inc. v. J.D. Associates. Ltd. Partnership, 213 F.3d 175, 180 (4th Cir. 2000). Yet a court “need not accept as true unwarranted inferences, unreasonable conclusions, or arguments.” Id. To survive a defendant’s motion, the complaint must plead sufficient facts to “state a claim to relief that is plausible on its face.” Iqbal, 556 U.S. at 679. Thus, the complaint must assert facts to show more than a “sheer possibility that a defendant has

3 acted unlawfully,” and must be “facially plausible” such that it “allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged.” Id. at 678. III. ANALYSIS A. Count I: First Amendment retaliation claim

Count I alleges that Plaintiffs have been deprived of their First Amendment rights in retaliation for filing their Previous Federal Suit. (ECF No. 28 at ¶¶ 36–43.) Defendants raise a variety of arguments in favor of dismissing Count I. This Court will first address whether Plaintiffs have sufficiently pled a First Amendment retaliation claim under § 1983. Then, it will address the arguments raised regarding qualified immunity, Eleventh Amendment immunity, and the availability of punitive damages. i. The merits of Plaintiffs’ First Amendment retaliation claim The First Amendment protects “not only the affirmative right to speak, but also the right to be free from retaliation by a public official for the exercise of that right.” Iannacone v. Ellison, 776 F. Supp. 3d 388, 398 (S.D. W. Va. 2025) (citing Suarez Corp. Indus. v. McGraw, 202 F.3d

676, 685 (4th Cir. 2000)). “The filing of a lawsuit” is also protected by “the First Amendment right to petition the government for redress of grievances,” and thus “carries significant constitutional protections.” ACLU of Md, Inc. v. Wicomico County, 999 F.2d 780, 785 (4th Cir. 1993). “To make out a First Amendment retaliation claim, a plaintiff must allege (1) that he engaged in activity protected by the First Amendment, (2) that a defendant took action to adversely affect his First Amendment rights, and (3) that a causal relationship between the protected activity and a defendant's conduct can be established.” Iannacone, 776 F. Supp 3d. at 798 (citing

4 Constantine v. Rectors & Visitors of George Mason University, 411 F.3d 474, 499 (4th Cir. 2005)). Defendants offer no argument on the first and second prongs.1 Instead, they claim that there is insufficient evidence to support the third prong as no facts support “the causation element.” (ECF No. 30 at 3.) For the third prong of a retaliation claim, Plaintiffs “must establish a ‘causal connection’

between the government defendant's ‘retaliatory animus’ and the plaintiff's ‘subsequent injury.’” Nieves v. Bartlett, 587 U.S. 391, 398 (2019) (quoting Hartman v. Moore, 547 U.S.

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DD Oil Co v. The West Virginia Department of Environmental Protection, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dd-oil-co-v-the-west-virginia-department-of-environmental-protection-wvsd-2025.