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Groups Can Seek Legal Actions Against Bankrupt Coal Company

 



June 19, 2025 - Legal actions against a West Virginia coal company can proceed despite that company’s bankruptcy filing earlier this year, a bankruptcy court in Delaware has ruled.


Conservation groups including the West Virginia Highlands Conservancy and Appalachian Voices can proceed with a lawsuit and administrative appeals against South Fork Coal.


Last year, the groups sued the U.S. Forest Service for allowing South Fork’s coal trucks to operate through the Monongahela National Forest. They also sought to revoke the company’s permits through the U.S. Department of the Interior.


South Fork filed for bankruptcy in February, putting the lawsuit and appeals on hold. On Tuesday, the U.S. Bankruptcy Court in Delaware allowed those to proceed while the company is in bankruptcy.


South Fork has been cited for numerous environmental violations, according to the groups. Its operations have affected the Cherry River watershed, a habitat for the endangered candy darter.


The groups also sued South Fork in December over Clean Water Act Violations. That lawsuit remains on hold.