Tag Archives: Chevron

Chevron, 50 Activists and their Email Accounts

The Electronic Frontier Foundation (EFF) and EarthRights International (ERI) asked judges in California and New York today to quash subpoenas issued by Chevron Corporation to three email providers demanding identifying information about the users of more than 100 email accounts, including environmental activists, journalists, and attorneys. The information Chevron wants could be used to create a detailed map of the individuals’ locations and associations over nearly a decade.

The subpoenas are the latest salvo in the long-running battle over damage caused by oil drilling in Ecuador. After years of litigation, an Ecuadorian court last year imposed a judgment of over $17 billion on Chevron for dumping toxic waste into Amazon waterways and causing massive harm to the rainforest. Instead of paying, Chevron sued more than 50 people who were involved in the Ecuador lawsuit, claiming they were part of a conspiracy to defraud the oil giant. None of the individuals represented by EFF and ERI has been sued by Chevron or accused of wrongdoing.

“Environmental advocates have the right to speak anonymously and travel without their every move and association being exposed to Chevron,” said Marcia Hofmann, EFF Senior Staff Attorney. “These sweeping subpoenas create a chilling effect among those who have spoken out against the oil giant’s activities in Ecuador.”

The motions to quash filed today asked the courts to reject the subpoenas, pointing out that anonymous speakers who are not parties in a lawsuit receive particularly strong First Amendment protections. EFF first won court recognition of this protection in Doe v. 2theMart.com in 2001. Chevron’s subpoenas also violate the legal protections for the right of association for political action that were developed during the civil rights era.

“The courts have long recognized that forcing activists to reveal their names and political associations will chill First Amendment rights and can only be done in the most extreme situations,” added Marco Simons, Legal Director of ERI, which has provided legal assistance to third parties affected by the Chevron litigation in two international proceedings. “We look forward to having those longstanding principles applied in this case so that people can engage in journalism and political activism and assist in litigation against environmental destruction without fear that their identities and personal email information will be put at risk.”

EFF and ERI are challenging the subpoenas to Google and Yahoo! in the U.S. District Court for the Northern District of California and the subpoena to Microsoft in the U.S. District Court for the Northern District of New York. .

EFF and ERI Fight to Quash Speech-Chilling Subpoenas from Chevron, Press Release of Electronic Frontier Foundation, Oct. 22, 2012

See also Chevron and Amazon

Chevron and Amazon: the $18 billion Ecuador Liability

The D.C. Circuit Court of Appeals  on June 12, 2012  (pdf) dealt another setback to Chevron over its $18 billion Ecuador liability, reversing a lower court decision that allowed the oil giant access to documents from a prominent consulting group for the Amazon rainforest communities that sued the company.-

Chevron’s Amazon Rainforest Pollution, human rights and investment tribunals

Indigenous rainforest communities from Ecuador who recently won an $18 billion judgment against Chevron for environmental damage have filed  a petition before the Inter-American Commission on Human Rights strongly criticizing Chevron’s “egregious misuse” of the U.S.-Ecuador Bilateral Investment Treaty (“BIT”) to violate human rights protections. They are seeking an order requiring Ecuador’s government to protect their right to life, physical integrity, health, a fair trial, and equal treatment under the law as guaranteed by the American Declaration of the Rights of Man and other international human rights treaties.

The petition was filed against Ecuador’s government because Chevron is seeking an order from the private investor arbitration panel mandating that the country’s President freeze the court proceedings until the BIT panel can rule, a process which normally takes three years. Such an order would violate Ecuadorian and international law as well as the human rights protections that the Commission is sworn to uphold, said Pablo Fajardo, the lead lawyer for the Ecuadorian plaintiffs in the underlying environmental case.

The Commission, located in Washington, D.C., hears claims for emergency relief from individual human rights victims and derives its authority from the the multilateral international treaty that created the Organization of American States, of which Ecuador and the United States are members. Any order from the Commission is binding on the government against which it is issued.

“The threats are serious and urgent,” the plaintiffs wrote in their petition, referring to their own plight living near extensive levels of toxic oil contamination in the Amazon rainforest for almost 50 years. An Ecuadorian court in 2011 found Chevron liable for dumping billions of gallons of toxic waste into the Amazon when it operated under the Texaco brand from 1964 to 1992, causing dramatically increased rates of cancer and decimating indigenous groups. See here and here.

“The idea that an arbitral panel would even contemplate ordering a sovereign state to violate its human rights obligations is repugnant not only to the substance of international human rights law but to the very core of the international legal order,” the petition added.  The petition also argues that the relief sought by Chevron extends well beyond the scope of the BIT in that it does not authorize private investor arbitration panels to act as a “transnational” appellate court that can override decisions in a public court system of a sovereign nation. The BIT is normally limited to allowing investors to seek monetary damages directly from a government if it feels it has been treated unfairly, a claim that Chevron makes but that the indigenous communities reject.

The Ecuadorians believe the investor arbitral panel convened by Chevron violates international law in that it bars the rainforest communities from appearing before it, does not publish its decisions, and does not inform the public about when and where it meets. Further, its three members — all practicing lawyers — suffer from a conflict of interest in that they each stand to reap millions of dollars in fees paid in part by Chevron simply by granting jurisdiction over the case when there is little if any basis to do so.

“What Chevron is trying to with this secret arbitration is utterly offensive to anybody who believes in the rule of law,” said Fajardo, whose clients initially filed the environmental lawsuit against Chevron in 1993 in U.S. federal court in New York before it was shifted to Ecuador at Chevron’s request.  “Chevron is trying to convince the private arbitral panel to override the decisions of a public court in a sovereign country where Chevron chose to litigate, even as Chevron continues to pursue appeals in that country making the same arguments it makes before the secret panel,” he added. “It’s just an outrageous abuse of judicial process.”  “Any decision by the panel granting Chevron’s requests would violate international law and certainly would not bind the indigenous communities who are not a party to the proceedings,” he added. “We also believe it will backfire against Chevron if the company carries through on its threats to try to block enforcement of the legitimate Ecuador judgment in courts around the world.”

Ecuador’s government has argued that the oil giant has no right to even file the claim under the BIT given that the treaty did not take effect until 1997, or five years after Chevron left the country.  Chevron’s latest maneuver prompted renowned Latin American jurist Jose Daniel Amado to send a letter to U.N. Secretary General Ban Ki-moon asking for a review of what he called an “improper and illegal expansion of arbitral powers” by the panel.  The Amado letter gained immediate support from jurists around the world, who sent a separate letter backing Amado’s arguments to the U.N. official in charge of international arbitration, Renaud Souriel.

Excerpt, Ecuador Communities Target Chevron’s Secret Investor Arbitration in New Court Filing, Says Amazon Defense Coalition, PR Newswier, Feb. 10, 2012

Chevron’s Oil Spills in Amazon, destroying the paper trail

A new document reveals that Chevron officials ordered the destruction of key documents as part of a broad scheme to hide the extent of the company’s pollution in Ecuador’s Amazon, says Amazon Defense Coalition.  A company memorandum from Ecuador dated July 1972 ordered that all reports related to oil spills “are to be removed from the Field and Division offices and destroyed.” From 1964 to 1990, Chevron operated a large concession in Ecuador’s Amazon region that included an extensive network of pipelines, wells and separation stations.

Chevron operated in Ecuador under the Texaco brand. In February, an Ecuador court found Chevron liable for dumping billions of gallons of toxic waste into the Amazon, decimating indigenous groups and causing a spike in cancer rates. Damages in the case, which is under appeal in Ecuador, were set at $18 billion. The extent and environmental impact of the disaster dwarfs the size of the BP spill in the Gulf of Mexico, according to experts.

The memo ordering the destruction of documents was written by R.C. Shields, at the time the director of production in Latin America for Texaco and Chairman of the company’s Ecuador subsidiary. The memo directs Chevron personnel to report only oil spills that are “major events” which are defined as those that “attract the attention of press and/or regulatory authorities.”  The directive also orders that no reports are to be kept on a “routine basis.”  The Shields memo emerged via discovery in U.S. federal court.

Texaco reportedly caused hundreds of oil spills in Ecuador, many of which were “remediated” by setting them on fire, according to the book Amazon Crude, which was published in 1989 and which documented Texaco’s substandard operational practices. The company also has admitted to pouring sludge from the waste pits along dirt roads.

The Shields memo ordering the destruction of documents infuriated members of the legal team representing 30,000 Amazon residents who are suing the oil giant.  This memo is a vivid illustration of the culture of deceit that characterizes Chevron’s destruction of Ecuador’s Amazon over a period of decades,” said Pablo Fajardo, the lead Ecuadorian lawyer. “Deception remains the operating principle for Chevron in Ecuador even today as the company continues to flout its legal obligations to remediate toxic pollution that threatens thousands of innocent lives.”

Karen Hinton, the U.S. spokesperson for the Ecuadorians, said the memo was part of a “pattern of corrupt activities” by the company that include a fraudulent remediation in the 1990s, the fabrication of scientific evidence, attempted entrapment of a trial judge and threats to put judges in jail if they didn’t rule in the company’s favor.  “Chevron acted like the Mafia in Ecuador,” she added. “This repugnant memo is just a small piece of the company’s scheme to defraud Ecuador’s government and its people.”

Chevron’s Ecuador Fraud Highlighted In Memo Ordering Destruction of Documents Related to Contamination, Says Amazon Defense Coalition, PR NewsWire, Dec. 14, 2011

Dragging itself through Oily Mud: Chevron in Amazon

 

A judge in a tiny courtroom in the Ecuadorean Amazon ruled Monday that the oil giant Chevron was responsible for polluting remote tracts of Ecuadorean jungle and ordered the company to pay more than $9 billion in damages, one of the largest environmental awards ever.

The award against Chevron “is one of the largest judgments ever imposed for environmental contamination in any court,” said David M. Uhlmann, an expert in environmental law at the University of Michigan. “It falls well short of the $20 billion that BP has agreed to pay to compensate victims of the gulf oil spill but is a landmark decision nonetheless. Whether any portion of the claims will be paid by Chevron is less clear.”

Both sides said they would appeal the ruling…Pablo Fajardo, a lawyer for the plaintiffs, called the ruling a “triumph of justice,” but said it still fell short. “We’re going to appeal because we think that the damages awarded are not enough,” he said in a telephone interview. The plaintiffs were seeking as much as $113 billion, according to a report recently submitted to the court.  A Chevron spokesman, Kent Robertson, called the decision “illegitimate and unenforceable.” He said Chevron would appeal through the Ecuadorean legal system, and would not pay the damages.  “This is the product of fraud,” he said. “It had always been the plan to inflate the damages claim and coordinate with corrupt judges for a smaller judgment.”

The origins of the case go back to the 1970s, when Texaco, which was later acquired by Chevron, operated as a partner with the Ecuadorean state oil company. The villagers sued in 1993, claiming that Texaco had left an environmental mess that was causing illnesses. Chevron bought Texaco in 2001, before the case was resolved.

Chevron has been playing hardball for at least the last two years. It produced video recordings from watches and pens wired with bugging devices that suggested a bribery scheme surrounded the proceedings and involved a judge hearing the case. The judge was forced to resign, although it was later revealed that an American behind the secret recordings was a convicted drug trafficker…

Last week, Chevron filed a suit against dozens of people involved in the case, charging that they conspired to extort the company for $113 billion by making up evidence and trying to manipulate the Ecuadorean legal system. At the company’s request, an American judge issued a temporary restraining order to block any judgment for at least four weeks. A day later, international arbiters ordered Ecuador to suspend the enforcement of any judgment.

Excerpts from SIMON ROMERO and CLIFFORD KRAUSS, Ecuador Judge Orders Chevron to Pay $9 Billion, NYTimes, Feb. 14, 2011