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.

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.