More litigation expected over California recycling regulations

Packaging EPR law SB 54 could spark lawsuits from environmental groups and businesses alike. Meanwhile, certain industry groups are seeking a preliminary injunction with recyclability labeling law SB 343.

What happened

Litigation is brewing in California as two major recycling regulations — extended producer responsibility and source reduction law SB 54 and “truth in labeling” law SB 343 — are slated for implementation this year.

CalRecycle finalized SB 54 rules on May 1. But Californians Against Waste and the Natural Resources Defense Council believe the regulations now create “huge loopholes for plastic packaging that violate the law.” On May 6, they signaled that they are working together to develop a lawsuit.

Why it matters

NRDC expects to file a lawsuit “as quickly as practicable given our on-going review of CalRecycle's final regulatory package,” NRDC’s Avinash Kar, senior director of the toxics program, said in an emailed statement. Some of the main concerns that environmental NGOs voiced throughout the revision process have to do with leeway around chemical recycling technologies and certain plastic packaging exemptions.

NRDC would like to see CalRecycle “revise the regulations to close these loopholes and be consistent with the law,” according to Kar.

More legal challenges are to be expected across the spectrum, observers say. Whether they would have lasting impact is a separate question.

This news brief is based on reporting published by Packaging Dive on 2026-05-13. The original report is linked below.