Second US court strikes down New York's Climate Superfund Act
Judge P. Kevin Castel ruled New York's $75bn Climate Change Superfund Act is preempted by the Clean Air Act and invalid under the foreign affairs doctrine — the second federal court to reject the law in a month.
A second federal judge has struck down New York’s Climate Change Superfund Act, delivering another victory for the Trump administration in its fight against state-level climate liability laws.
Judge P. Kevin Castel of the US District Court for the Southern District of New York ruled on 23 September that the 2024 law — which would have forced fossil-fuel companies to pay $75 billion over 25 years into a state climate infrastructure fund — is preempted by the Clean Air Act and separately invalid under the foreign affairs doctrine. The court granted summary judgment to the US government, permanently blocking enforcement of the measure.
The Justice Department announced the victory on Monday 28 September. Associate Attorney General Stanley Woodward said the law was “not only unconstitutional, it is harmful, jeopardizing every American’s access to affordable and reliable energy,” the department said.
The decision is the second federal-court defeat for the law in roughly a month. In August, the Northern District of New York granted summary judgment to challengers on preemption claims; on 14 September the parties jointly asked that court to enter final judgment, setting up an appeal to the Second Circuit.
New York’s act targeted companies responsible for more than 1 billion tonnes of greenhouse gas emissions from fossil-fuel extraction and refining worldwide between 2000 and 2024, with the State Department of Environmental Conservation to implement the cost-recovery programme.
Sources: https://news.bloomberglaw.com/environment-and-energy/second-judge-rules-against-new-yorks-climate-superfund-law https://www.bdlaw.com/publications/u-s-district-court-strikes-new-york-climate-change-superfund-act/ https://wltreport.com/2026/09/28/trump-doj-second-judge-new-york-75-billion-climate-law/ https://tradersunion.com/news/financial-news/show/3547774-us-court-blocks-ny-climate-superfund/
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