How DOJ Suit Could Affect Calif. Cap-And-Trade Plan

Law360 (October 31, 2019, 4:01 PM EDT) -- A recent lawsuit filed by the Trump administration seeks to block a 6-year-old agreement between California and Quebec that links their respective cap-and-trade programs. The lawsuit, filed this week by the U.S. Department of Justice in the U.S. District Court for the Eastern District of California, asks that the court declare unconstitutional California’s agreement with Quebec which provides for the trading of cap-and-trade compliance instruments across the two jurisdictions.

The complaint boils down to a claim that the agreement unconstitutionally interferes with foreign policy and the federal government’s “full and exclusive responsibility to conduct this nation’s foreign affairs.” California Air Resources Board chair...

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