The Nickel Report

On July 14, 2026, a federal court issued a preliminary injunction enjoining California Attorney General Rob Bonta and “all those in privity or acting in concert with” him from enforcing California’s Truth in Recycling Law, SB 343. While this decision is favorable for the plaintiff organizations and their members, it raises additional questions for non-plaintiff companies attempting to navigate these novel and complex environmental compliance requirements.

In recent months, some companies have begun reconsidering their sustainability targets. This trend is influenced by a range of factors, including economic pressures and scrutiny of climate action by the current federal administration and state attorneys general. In addition, many companies with interim decarbonization goals (e.g., companies with “net zero by 2050 goals” that also set 2030 targets) are finding they are not on track to meet them. When considering revising or abandoning existing goals, it is important to consider emerging risks under the current legal landscape, and to develop and follow a deliberate strategy to mitigate those risks.