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Enbridge challenges the venue of Michigan's pipeline case before the US Supreme Court

Enbridge filed a motion on Monday asking the U.S. Supreme Court to reconsider the location of a Michigan lawsuit that sought to force Enbridge to cease operating a pipeline beneath the Straits of Mackinac (waterways connecting two of the Great Lakes) due to environmental concerns. The Justices heard Enbridge's appeal against a lower court ruling that rejected the company's request for the case to be moved from state court to federal court. Federal court is generally more favorable to defendants.

The Supreme Court will hear the case during its next session, which begins in October.

Enbridge, based in Calgary, has been involved in a longstanding dispute with Michigan regarding the Line 5 pipeline. The pipeline, which is aging, transports 540,000 barrels of crude oil and refined products per day from Superior, Wisconsin to Sarnia (Ontario).

Environmentalists are worried about an oil spill in the Straits of Mackinac (which connect Lake Michigan and Lake Huron). A section of this aging pipeline that runs under the Straits of Mackinac is four miles long.

The 6th U.S. The Circuit Court of Appeals ruled last year that Enbridge waited far too long before attempting to remove the lawsuit brought by Democratic Attorney-General Dana Nessel on June 19, 2019 to federal court. It tried to do this in November 20,21. The lawsuit was filed to stop Enbridge from operating Line 5 due to violations of environmental and public nuisance laws.

In court papers, Nessel's Office described the 6th Circuit ruling as the right result in an Enbridge case where the deadline for transferring the litigation from state court to federal court was missed by over two years.

Enbridge's attorneys in a petition filed with the Supreme Court stated that the 6th Circuit ruling had added to the split among the regional U.S. appellate courts on whether the judiciary could create exceptions to a 30-day limit for cases filed in state courts to be removed to federal court.

Enbridge, in a statement to the Supreme Court, said that this split had created an untenable uncertainty within the law which resulted defendants in certain parts of the nation being subject to a strict deadline whereas others were not. Last month, the U.S. Army Corps of Engineers said that it expected to make a final decision on Enbridge's plan to build a pipeline tunnel in this fall. Enbridge's Line 5 Project received an emergency designation in April after President Donald Trump declared that a national energy crisis had occurred. This gave the Army Corps the power to expedite its review of the Line 5 Project.

Nessel filed a lawsuit in Ingham County state court. In November 2022, while the case was still being litigated in state court, Michigan Governor Gretchen Whitmer (a Democrat) revoked the easement which allowed the pipeline's operation and filed a suit to enforce that revocation.

Enbridge was successful in getting this case transferred from the state court to the federal court. They argued that Whitmer’s state-law demands raised federal questions relating to foreign affairs, and that they were potentially preempted under the federal Pipeline Safety Act as well as the Submerged Lands Act.

Whitmer's request to have the case remanded to state court for November 2021 was rejected by a federal judge. Enbridge moved a month after that order to transfer Nessel's previous lawsuit to federal court.

Enbridge claimed it could transfer the lawsuit 887 days after Nessel filed suit based on a statute that governs case removals. This allows a case be removed 30 day after an order which determines if a case can be heard in federal courts.

(source: Reuters)