Michigan Data Center Faces Class Action Lawsuit Over Alleged Failure To Curb ‘Excessive’ Noise Pollution

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A proposed class action lawsuit alleges that Alliance Cloud Services, LLC’s Dowagiac, Michigan, data center generates excessive noise that has significantly diminished the quality of life of nearby residents.

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The 20-page complaint contends that the 30 megawatt Dowagiac facility, since it began operations in March 2022, has emitted noise at levels “indecent and offensive to individuals with ordinary sensibilities” through its high-performance computing services and digital asset mining operations.

According to the lawsuit, data centers like the Dowagiac facility generate revenue from artificial intelligence processing, Bitcoin mining, colocation, and hosting services. The complaint explains that data centers consume substantial amounts of power to operate servers that require sophisticated cooling systems to prevent overheating.

The case says that equipment such as diesel generators, ventilation and HVAC systems, chillers, cooling towers, and condenser fans can produce noise levels between 70 and 90 decibels within a data center, and 48 to 60 decibels outside of a facility.

“Defendant’s Data Center operates 24 hours a day, 7 days a week,” the filing stresses. “The noise emitted from the Data Center and experienced by Plaintiffs and the Class is not only excessive, but constant at all hours of the day, every day of the week.”

Related Reading: Data Center Noise, Water Pollution Lawsuits

The lawsuit was filed by residents who live within one mile of the Dowagiac data center who claim that the facility’s noise has “physically invaded” their properties on “occasions too numerous” to count.

Related Reading: Class Action Claims Tennessee Mill Has Failed to Control ‘Unbelievably Horrible’ Noxious Odor Emissions

As a result of the allegedly constant noise, many Dowagiac residents have repeatedly lodged complaints with the company, the complaint says. Per the suit, residents have reported being unable to open windows, enjoy outdoor spaces, or sleep comfortably due to the persistent sound both indoors and outdoors.

Worse, many Dowagiac residents have expressed concerns over diminishing property values as a result of the data center, fearing that “[n]o one’s going to want to buy” homes in the area, the case reads.

According to the complaint, Dowagiac Mayor Patrick Bakeman addressed the issues in an open letter to Alliance Cloud Services on April 1, 2026, in which the mayor referenced local legislation enacted to protect the community, including a noise ordinance prohibiting sound levels above 65 decibels during the day and 55 decibels overnight in residential areas.

The lawsuit emphasizes that “properly” operated data centers employ sound mitigation measures, including noise-absorbent materials, sound blankets, acoustic barriers and shields, or low-noise cooling systems.

“Defendant has failed to follow proper industrial practices to prevent the offsite emission of noise, and has failed to absorb, capture, mitigate, and/or prevent noise from escaping its Data Center, thereby invading the homes and properties of Plaintiffs and the Class,” the filing contends.

The lawsuit further notes that the Dowagiac data center recently announced expansion plans to add 48.5 acres to its campus, effectively doubling its size and consequently increasing its operational power level from 30 megawatts to 340 megawatts.

The complaint says that this proposed power level is roughly equivalent to the amount needed to service 200,000 to 300,000 homes.

The Alliance Cloud Services class action lawsuit seeks to represent all owner-occupants and renters of residential properties within one mile of the Dowagiac data center at any time during the applicable statute of limitations period.

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