Hunton Retail Law Resource

The first major personal injury case in the country targeting ultra-processed foods (“UPFs”) is over – and it ended in a decisive defense win. On June 30, the U.S. District Court for the Eastern District of Pennsylvania dismissed Martinez with prejudice, holding that the plaintiff failed to plead actual injury tied to specific products, failed to identify a viable causation theory, and could not cure those deficiencies through amendment. For defendants in the food and beverage industry, the decision confirms that early-stage pleading challenges can be a powerful tool where UPF plaintiffs are unable to connect particular products to their alleged harms. 

Starting in June 2027, California’s “compostable” labeling standard will prohibit certain products from being labeled as “compostable,” even if they are ASTM-certified. This is particularly important considering California’s Extended Producer Responsibility (EPR) law, which will require covered products to be either recyclable or compostable by 2032. Regulated entities should understand the contours of California’s “compostable” standard and begin developing internal mechanisms to ensure compliance and avoid unexpected production pauses or enforcement actions.

Businesses of all kinds increasingly rely on text messages and promotional calls to engage customers. While these channels can be highly effective marketing tools, their use can also expose businesses to potential liability under the Telephone Consumer Protection Act (TCPA). Enacted in 1991, the TCPA was designed to restrict telephone solicitations and the use of automated telephone equipment. Notably, the TCPA provides for the recovery of statutory damages, meaning that each violation (that is, each text message or call) gives rise to potential statutory damages of $500 to $1500. Recent years have seen a dramatic increase in TCPA litigation, costing businesses a pretty penny. For retailers seeking to mitigate litigation risk and costly settlements, we have compiled some practical guidance on TCPA compliance to help head off future claims.

Newly formed “public interest organizations” have increasingly been using an expansive consumer protection statute in the District of Columbia as a basis for claims against merchants across the country for unfair or deceptive trade practices.  These claims recently have been directed at businesses—both small and large—who are selling online and shipping into the District of Columbia. Businesses selling goods into the District of Columbia (physically or virtually) should be aware of potential claims initiated by public interest groups that may be pursued against them under the CPPA. 

As retailers rapidly adopt AI across merchandising, labor, inventory, personalization, and supply chain operations, the legal, regulatory, and operational risks associated with these technologies are evolving just as quickly. Hunton helps retailers keep pace with confidence by delivering timely, practical legal analysis that enables clients to stay ahead of developments affecting the retail industry and the growing use of AI across retail operations.

To support this effort, Hunton has launched the interactive Enacted AI Law Tracker, an online resource designed to monitor state laws relevant to businesses that procure, deploy, or use artificial intelligence technologies.

On June 22, 2026, North Carolina Governor Josh Stein signed House Bill 315, the “Prohibit Litigation Investments Act” (the “Act”), into law, making North Carolina the first state to ban third-party litigation funding. 

Third-party litigation funding, which has become increasingly common in class actions and mass tort matters, generally involves a non-party investor providing capital to a plaintiff or law firm in exchange for a share of any recovery. Proponents argue that these arrangements can expand access to justice by helping claimants pursue meritorious claims, while critics have raised concerns about transparency, ethics, and the influence of non-parties over litigation strategy and outcomes. 

Retailers continue to deploy AI throughout their enterprises, with particular emphasis on enhancing operational productivity. One area where AI can improve operational efficiency is predictive inventory and logistics planning. Yet the technology is not without risk, and businesses should understand both the challenges associated with deploying AI and the ways they can mitigate supply chain and logistics disruptions through insurance and other forms of risk transfer when the technology fails to perform.

The NCAA’s eligibility rules have been facing growing antitrust pressure as athletes argue that limits on how long they can compete effectively limit how long they can earn from name, image, and likeness (“NIL”) opportunities and revenue-sharing income tied to Division I sports. Current NCAA Bylaw 12.6 allows Division I athletes five years to complete four seasons of competition, with exceptions tied to injuries, illnesses, transfers, and redshirt rules. Athletes are challenging those rules as anticompetitive under Section 1 of the Sherman Act.

Self-checkout has become a familiar feature in many retail stores, but it is also drawing increasing attention from state and local lawmakers. Several US states have proposed legislation to restrict self-checkout usage largely in response to theft and labor concerns. While no statewide bills have been signed into law, this is a trend retailers should watch closely.

Retail employers are navigating an immigration compliance environment that is becoming more complex at both the operational and strategic levels. Recent policy changes require employers to respond to shifting humanitarian-based work authorization categories, while proposed wage changes could reshape the economics of hiring and retaining professional foreign national talent.