Parents beware - environmental claims against Shell Plc for its subsidiary's actions in Nigeria

Allen & Overy LLP

On 27 January 2023, 11,317 individuals and 17 institutions from the Ogale community in Nigeria filed claims against Shell Plc (Shell) for its alleged role in oil spills in the Niger Delta.

The significance of this filing following recent decisions of the UK Supreme Court cannot be overlooked. More broadly, the claims bring into focus the potential liability of parent companies for the activities of their subsidiaries, particularly as regards environmental, health and human rights impacts.

In this bulletin we provide context to the claims, and highlight potential repercussions for multinational corporations with subsidiaries operating globally.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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