On July 3, the NAM joined a coalition brief in the 5th Circuit concerning removal under federal officer jurisdiction. This case is one of over 40 cases filed by a group of Louisiana parishes seeking relief for alleged damage to Louisiana’s coastal environment. The plaintiffs allege that the defendants—energy producing companies violated the Louisiana State and Local Coastal Resources Management Act by violating or failing to obtain a use permit for oil production activities on the Louisiana coast. Defendants are authorized to remove cases against them for actions taken while acting under an officer of the United States. The defendants removed this case, in part, based upon acts taken to assist the Allies in World War II, pursuant to a contract with the government to refine oil. The district court found that Gulf Oil Corporation’s contract was insufficient to establish “acts under” a federal officer “because it imposed no federal supervision or control whatsoever over Gulf Oil’s oil production activities.
In our amicus brief, we argue that The Texas Company and Gulf Oil Corporation “acted under” a federal officer because oil production was how the companies fulfilled their contractual obligation to produce refined oil to the government. Ensuring that courts properly apply federal-officer removal jurisdiction is important to all manufacturers who provide goods or services to the United States government pursuant to a contract and face potential liability claims in state courts.