Seventeen State Attorneys' General and the National Associate of Wholesaler-Distributors (NAW) filed a challenge to California's packaging Extended Producer Responsibility (EPR) law, known as SB 54. NAW is currently challenging a nearly identical law in Oregon federal court over Oregon's packaging EPR law. In Oregon, NAW was granted a preliminary stay of enforcement of Oregon's law to its members until a final decision is made - trial is scheduled for July 13, 2026. The plaintiffs' in California make similar arguments that state packaging EPR laws have broad and unconstitutional requirements, largely due to the fees, nationwide impact, and structure of relying on a private, third-party organization to implement large aspects of the program. The largest Producer Responsibility Organization (PRO), Circular Action Alliance (CAA) recently estimated that implementation of California's program will require annual fees from producers totaling several billion dollars per year to run the program.
The key point now for covered producers in California is that the law is still in effect, even for NAW members, and can be enforced by CAA and the state. Entities should continue compliance and reporting work and track the case as it develops.