Exxon sues California AG Bonta, environmental groups over recycled plastic ‘smear’
By Kevin Crowley | Bloomberg
Exxon Mobil Corp. filed a lawsuit alleging that California Attorney General Rob Bonta and several environmental groups made defamatory comments about the oil company’s ability to recycle plastic.
Exxon accused Bonta, the Sierra Group and others of making “false accusations” about its advanced recycling process. Exxon said in a suit filed in federal court in Texas Monday that the process works and the claims have damaged its relationship with customers.
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“With apparently no appreciation for the irony of their claim, Mr. Bonta and his cohorts are now engaging in reverse greenwashing,” according to the complaint. “While posing under the banner of environmentalism, they do damage to genuine recycling programs and to meaningful innovation.”
Bonta, a Democrat, sued Exxon on behalf of California in September over claims of public nuisance, water pollution and misleading environmental marketing. In a statement at the time, Bonta alleged the company “falsely promoted all plastic as recyclable” when in fact the US recycling rate has never exceeded 9%. Exxon and other manufacturers are also facing plastics recycling suits by a Kansas county and by residents in four states.
In recent months, Exxon has shown a willingness to use the courts to defend its reputation and legal rights when attacked by critics, especially those focused on the environment. Last year, the company sued two of its own investors to remove environmental proposals from the ballot at its annual meeting.
Exxon sought to continue the suit even after the proposals were withdrawn, claiming to be a “forceful advocate” for shareholder rights, but the case was eventually dismissed.
The company claims Bonta made the anti-Exxon statements in a “deliberate smear campaign” in his “personal capacity to drive up donations and publicity for his political campaign.” It also accuses one of the defendants, the Intergenerational Environment Justice Fund Ltd., of serving “private foreign interests” through its relationship with Fortescue Metals Group Ltd.
Bonta’s office, the Sierra Club, the IEJF and Perth, Australia-based Fortescue didn’t immediately respond to requests for comment.
The Sierra Club has received funding from Bloomberg Philanthropies, the charitable organization founded by Michael Bloomberg, who is the majority owner of Bloomberg News parent Bloomberg LP.
The case is Exxon Mobil Corporation v. Bonta, 25-cv-00011, US District Court, Eastern District of Texas (Beaumont).
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