Siblings sue California for locking away energy, opportunity, and family wealth
January 28, 2026
Santa Barbara County, California; January 28, 2026: Siblings John and Melinda Morgan have filed a lawsuit challenging a California law that deliberately locks away energy resources, strands private land, and forces a handful of families to pay the price for the state’s political war on prosperity.
The lawsuit challenges SB 1137, which bans new oil wells within 3,200 feet of virtually anywhere people live, work, learn, or play—effectively sterilizing vast stretches of land across California. The law does not regulate development; it prohibits it. And it does so without compensating the property owners whose mineral rights are rendered worthless overnight.
“California can choose scarcity if it wants—but it cannot force individual families to subsidize that choice for free,” said Jeffrey Jennings, an attorney with Pacific Legal Foundation. “When the government blocks all productive use of land, the Constitution calls that a taking. Environmental slogans don’t change that reality.”
The Morgans’ mineral estate has been in their family for decades. Their grandmother placed the mineral rights in trust so future generations could responsibly develop the resources beneath their feet—creating jobs, supporting local communities, and contributing to California’s energy supply. SB 1137 abruptly erased that future, not because the Morgans acted irresponsibly, but because the state decided that prohibition was easier than balance.
“For decades, the National Association of Royalty Owners has defended families whose livelihoods depend on responsible mineral development,” said Ed Hazard of the National Association of Royalty Owners. “This case asks a simple question: Can the government wipe out private property in the name of policy preferences and walk away without paying? The Constitution’s answer is no.”
The Morgans’ lawsuit names Doug Ito, the State Oil and Gas supervisor overseeing California’s Geologic Energy Management Division, which enforces SB 1137. The case challenges the premise that environmental protection requires less energy, fewer jobs, and diminished private ownership—and insists instead that prosperity, innovation, and environmental care can coexist.
Pacific Legal Foundation represents the Morgans free of charge. The case is Morgan v. Ito.
Documents
About Pacific Legal Foundation
Pacific Legal Foundation is a national nonprofit law firm that defends Americans threatened by government overreach and abuse. Since our founding in 1973, we challenge the government when it violates individual liberty and constitutional rights. With active cases in 34 states plus Washington, D.C., PLF represents clients in state and federal courts, with 18 wins of 20 cases litigated at the U.S. Supreme Court.