What the new climate lawsuit law means for you
Parliament has voted 67 to 53 to pass a new law that stops people from suing companies in court for the effects of their greenhouse gas emissions.
The law — the Climate Change Response (Tort Liability) Amendment Bill — was introduced by Minister Paul Goldsmith. In plain terms, a tort is a civil wrong where one person sues another for causing harm. This law says no one, including the government itself, can be taken to court in this way for damage linked to greenhouse gas emissions (RNZ; legislation.govt.nz).
Goldsmith told Parliament the law confirms that climate emissions policy is the job of the elected government and Parliament, not the courts (RNZ). The bill also confirms that developing and setting rules around greenhouse gas emissions is the government's role (Parliament select committee documents).
The law was aimed at stopping a lawsuit by climate activist Mike Smith against some of New Zealand's biggest emitters, including Z Energy and Fonterra (RNZ).
The government first flagged the change on 11 May 2026, when Reuters reported that New Zealand planned to legislate to stop courts finding companies liable for climate harm in private cases (Reuters). The next day, Goldsmith told Parliament the government was clarifying climate laws to give businesses certainty about their obligations (Hansard, 12 May 2026).
Opposition MPs said the law went against established legal principles. Labour MP Camilla Belich said it would remove Mike Smith's rights and attacked democracy, legal certainty, and the principle that laws should not apply backwards to things that have already happened (RNZ).
Green MP Steve Abel said the government acted against the public interest, ignored Ministry of Justice advice, and excluded Mike Smith while hearing from vested interests (RNZ).
The 67-to-53 vote shows the governing majority was comfortable with stepping in to stop the court case rather than letting the courts decide the matter. Labour and the Greens objected on the grounds that the law applies backwards, limits access to the courts, and raises questions about ministerial process.
The law is broad. Because it covers everyone, including the Crown, it does not just protect the companies Mike Smith was suing. It removes the courts as a path for any climate-related claim of this kind. That leaves the Emissions Trading Scheme and the Climate Change Response Act as the only government tools for dealing with emissions (legislation.govt.nz; Parliament select committee documents).
The broader question is what this means for holding polluters accountable in future. With the courts no longer an option, anyone wanting new rules on emissions liability would have to go through Parliament rather than through a lawsuit.
The bill now goes to Royal assent, which is the final step before it officially becomes law.
