Georgia residents sue OpenAI over $20 billion data center deal
Georgia residents and environmental groups have filed three lawsuits against OpenAI's $20 billion Project Camellia, alleging secret dealings and legal violations in the approval process.
The lawsuits target OpenAI's Project Camellia, a proposed 1,440-acre data center campus near Rincon that would span 4.4 million square feet and require up to 3.2 gigawatts of power. Construction is scheduled to begin in 2028 across five phases through 2034, with tax incentives estimated at $870 million to $900 million over 15 years.
Secrecy concerns
The project became public on July 22, 2026, following nearly nine months of private negotiations under confidentiality agreements. Since early September 2026, three separate lawsuits have been filed, each targeting different aspects of the deal's approval process.
Legal challenges
The first lawsuit challenges a county zoning ordinance that permits data centers on industrial land without public hearings. The second alleges the Industrial Development Authority violated Georgia's Open Meetings and Open Records Acts by using codenames and changing agendas without notice.
The third and most aggressive lawsuit, filed in early November 2026, names OpenAI, local officials, and the IDA, alleging conspiracy, fraud, and civil racketeering. No claims have been decided by courts yet.
Potential impact
For OpenAI, the immediate risk is delay and reputational damage rather than derailing plans, as construction isn't scheduled until 2028. If courts find violations of open meetings laws, the $870-900 million tax incentive package could become contentious.
The zoning case could set a precedent requiring public hearings for future data centers in Effingham County, potentially changing how such projects are approved locally.
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