Chevron information movement to dismiss lawsuit claiming it manipulated fuel costs

Chevron has filed a movement in a California US District Court docket to dismiss a lawsuit in opposition to the oil and petroleum large that alleges it manipulated costs within the state.

The practically 50-page movement, filed in opposition to the fuel large — together with different California refineries — on March 26 in the USA District Court docket for the Northern District of California seeks to dismiss a earlier lawsuit filed final 12 months that claims the businesses orchestrated an illegal scheme to artificially inflate gasoline costs by misrepresenting compliance prices related to the state’s Low Carbon Gas Customary (LCFS) program.

“And though the purpose of the alleged conspiracy was supposedly to boost gasoline costs, Plaintiffs don’t plead any gasoline value set by any defendant, a lot much less allege info displaying that all of them integrated inflated LCFS prices into their costs in parallel,” the movement says.

“Plaintiffs’ conspiracy principle additionally fails as a result of it’s nonsensical. If the objective was to conspiratorially improve costs, Defendants may have simply raised their costs—there isn’t any want for the convoluted, roundabout mechanism Plaintiffs invent right here.”

Defendants allegedly started charging customers roughly 7 cents per gallon in LCFS-related prices beginning January 1, 2025, despite the fact that new, stricter LCFS amendments didn’t take impact till July 1, 2025.

Exterior of Chevron, the opposite defendants within the case embody the “5 largest oil refiners” in California — which collectively management roughly 97% of the state’s gasoline provide — Valero Advertising and Provide Firm, PBF Power Inc., Martinez Refining Firm LLC, Torrance Refining Firm LLC, Marathon Petroleum Firm LP, and Phillips 66 Firm.

Valero’s Benicia refinery has expressed intent to stop refining operations by the tip of April 2026. Phillips 66 additionally introduced plans to shut its Los Angeles refinery in late 2025.

Within the movement to dismiss, Chevron and the opposite defendants argue that the case must be thrown out as a result of the plaintiffs fail to offer any precise proof of a conspiracy and lack the authorized standing to sue.

Two regulation corporations and Client Watchdog filed the unique class motion grievance on November 26, 2025.

The California Put up has reached out to Chevron for touch upon the latest improvement within the case.

This additionally comes at a time when fuel costs in California are averaging practically $6 per gallon, with Los Angeles County seeing costs above $6.

Chevron lately started pushing oil from an offshore area after practically 15 years, following an oil spill that shut it down.

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