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Oklahoma AG appeals ruling blocking anti-ESG law

LEGAL NEWSLINE

Wednesday, December 4, 2024

Oklahoma AG appeals ruling blocking anti-ESG law

State AG
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Attorney General Gentner Drummond | Facebook Website

Attorney General Gentner Drummond has announced an appeal to the Oklahoma Supreme Court regarding a lower court's decision that blocked the enforcement of the state's anti-ESG law. This law, known as the Oklahoma Energy Discrimination Act of 2022, aims to prevent state contracts and pension investments with financial institutions that discriminate against the oil and gas industry.

Drummond assumed responsibility for the case in May after private counsel, initially hired by State Treasurer Todd Russ, was unsuccessful in defending the legislation. The case, Keenan v. Russ, involves a taxpayer challenging this law.

Drummond criticized Treasurer Russ's handling of the case, stating it had created challenges for defending the law. "There is a great deal of lost ground to make up on this litigation after the Treasurer and his hand-picked legal counsel failed in district court," said Drummond. He emphasized his commitment to protecting Oklahoma’s oil and gas industry from what he described as discriminatory practices by financial entities adhering to an environmental agenda.

In May, Drummond expressed dissatisfaction with the performance of Russ's chosen legal team and removed both them and Russ from decision-making roles related to the case. "It is extremely disappointing that the counsel hired by Treasurer Russ was unable to secure a favorable ruling in defense of Oklahoma’s anti-ESG law," Drummond remarked on May 9. He warned that due to these failures, there is a risk that the law could be struck down entirely.

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