ESG Enforcement Tracker

California – Enforcement Action

In September 2024, the California Attorney General, Rob Bonta (“Bonta”), filed a lawsuit against ExxonMobil, the world’s largest producer of polymers used to make single-use plastics, for allegedly engaging in a longstanding campaign of deception that caused and aggravated the global plastics pollution crisis.

The complaint, filed in the San Francisco County Superior Court, focuses on ExxonMobil’s deceptive marketing strategies, which it states are designed to mislead consumers and perpetuate the myth that recycling will solve the plastics pollution crisis. It alleges that ExxonMobil:

1. falsely promoted plastics as recyclable, even though the vast majority of plastic products are not recyclable and are unlikely to be recyclable, either technically or economically; and
2. promotes “advanced recycling” as a solution to the plastic waste and pollution crisis, which the AG alleges is instead intended to encourage continued consumption of single‑use plastics.

“Advanced recycling” is a term used by the plastics industry to describe a variety of heat or solvent-based technologies that can, in theory, convert certain types of plastic waste into petrochemical feedstock, which can be used to make new plastic. However, ExxonMobil is said to have concealed prominent technical limitations of this process, including the fact that 92% of the plastic waste processed through ExxonMobil’s “advanced recycling” technology does not become recycled plastic; instead, it primarily turns into fuels, which are ultimately destroyed after they are combusted.

Therefore, the complaint holds that these claims are misleading and misrepresent ExxonMobil’s products and ExxonMobil itself as environmentally friendly.

The complaint alleges that ExxonMobil has violated state nuisance, natural resources, water pollution, false advertisement, and unfair competition laws. The Attorney General is seeking:

1. nuisance abatement;
2. disgorgement, which would require ExxonMobil to disgorge profits gained through its illegal conduct;
3. civil penalties; and
4. injunctive relief to prevent ExxonMobil from making further false or misleading statements about plastics recycling but also to protect California’s natural resources from further pollution and destruction.

In February 2025, ExxonMobil unsuccessfully sought to remove the proceedings to the federal courts. The matter has since been remanded and is proceeding in the California state court.

Texas – Parallel Defamation Litigation

ExxonMobil has denied the California allegations and, in parallel federal proceedings, filed a lawsuit in the US District Court for the Eastern District of Texas against the California AG in his individual capacity, as well as several environmental organisations.

ExxonMobil is headquartered in Spring, Texas, and its filings cite alleged harm suffered in Texas, including damage to contracts and business relationships arising from public statements criticising ExxonMobil’s plastics and recycling practices. The claims include defamation and tortious interference, and relate to statements characterising ExxonMobil as a “liar”, a “polluter”, and as promoting a “myth” of plastic recycling.

On 13 February 2026, the Texas federal court denied the AG’s motion to dismiss, including rejecting (at the pleadings stage) the AG’s assertion of immunity. The court dismissed the claims against the environmental organisations on jurisdictional grounds.

Public appellate docket information indicates that an appeal has since been filed.