Texas appeals court allows winter storm lawsuits against Oncor, others to move forward
Oncor, which owns and operates power lines across the Dallas-Fort Worth area, is one of several power distribution companies involved in a court ruling that... A Houston appeals court has ruled that gross negligence lawsuits against Oncor and other power distribution companies can proceed. The ruling involves over 1,000 plaintiffs from across Texas who were sued for their involvement in power blackouts during a 2021 winter storm that killed over 200 people. The court also barred plaintiffs from pursuing negligence claims related to the duty of a transmission distribution utility, or TDU, to provide electricity during an emergency. This ruling is one of the few remaining avenues for compensation for losses related to power outages during the weather event. In December, a Houston appeals dismissed a similar lawsuit against large power generating companies, including a subsidiary of Irving-based Vistra Corp.
Published : 4 weeks ago by Philip Jankowski in Weather
AUSTIN – A Houston appeals court has ruled that gross negligence lawsuits can move forward against Oncor and other power distribution companies sued over their involvement in the deadly power blackouts during a 2021 winter storm.
The ruling involves more than 1,000 plaintiffs from across Texas whose lawsuits were combined for uniform handling of pretrial and discovery decisions. The lawsuits present one of the few remaining avenues for compensation for losses tied to power outages during the weather event that killed more than 200 people.
A three-justice panel of the 14th Court of Appeals in Houston ruled unanimously that legal claims involving gross negligence or intentional misconduct could continue against Oncor and fellow plaintiffs CenterPoint and AEP Texas.
The ruling was not a total victory. The court barred plaintiffs from pursuing negligence claims related to the duty of a transmission distribution utility – or TDU – such as Oncor to provide electricity during an emergency.
Oncor owns and operates transmission and distribution power lines across the Dallas-Fort Worth area, as well as Waco, Tyler and Midland.
“There is no denying the deliberate actions and blatant disregard for the TDU’s own customers,” said Dallas attorney Ann Saucer, who represents homeowners and families affected by the blackout. “It was a conscious decision to cut off power to certain neighborhoods and several people lost their lives as a result. These companies were warned, and they chose not to act.”
Oncor did not immediately respond to a request seeking comment.
During the February 2021 storm, freezing temperatures, icy conditions and snow led to record-setting power demand. Power producers of all fuel types began experiencing equipment failures that cascaded into a near collapse of the state’s stand-alone power grid.
ERCOT ordered power cut to millions across Texas, leaving it largely up to power companies like Oncor to determine where outages should occur. The outages were described as rolling blackouts, though many areas went without power for days.
In the aftermath, thousands sued ERCOT, which regulates the power grid, as well as power producers and distributors. In June 2023, the Texas Supreme Court ruled that ERCOT could not be sued for its actions during the winter storm. And in December, a Houston appeals dismissed a similar lawsuit against large power generating companies, including a subsidiary of Irving-based energy company Vistra Corp.
Topics: Lawsuits