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Federal Judge Upholds Oregon EPR Packaging Law

A federal judge has upheld Oregon’s extended producer responsibility (EPR) law for packaging, rejecting a constitutional challenge brought by the National Association of Wholesaler-Distributors (NAW).

Oregon’s Plastic Pollution and Recycling Modernization Act requires producers of covered packaging and other materials to participate in a producer responsibility organization (PRO), report covered materials supplied into the state and pay fees to support Oregon's recycling system. The Circular Action Alliance (CAA) currently serves as the state’s approved PRO.

The American Home Furnishings Alliance (AHFA) reported on the case, which impacts all manufacturers and importers shipping home furnishings into Oregon, during last year’s Regulatory Summit in August and also at an AHFA Packaging Forum held in June. 

In the Oregon case, NAW argued that the state law violated the U.S. Constitution, claiming that it improperly burdened interstate commerce and delegated regulatory authority to CAA. Following a five-day trial in July, U.S. District Judge Michael Simon rejected the constitutional challenges and upheld the law. The ruling also ended a preliminary injunction that temporarily protected certain NAW members from enforcement while the case proceeded. NAW has said it disagrees with the decision and is evaluating its next steps.

The Oregon ruling could influence ongoing challenges to EPR laws in other states. A separate lawsuit challenging California’s SB 54 packaging law was filed by a coalition of 17 state attorneys general and NAW against California’s Department of Resources Recycling and Recovery (CalRecycle) officials and CAA. That case is ongoing.

“The Oregon decision does not create any new compliance requirements for home furnishings companies that are already meeting their obligations under the state’s EPR law, but obligated producers that have not registered with the state should take immediate steps to become compliant,” said Alex Williams, AHFA’s director of sustainability and regulatory compliance programs.

“More broadly, this ruling should serve as a reminder for companies to assess their packaging compliance obligations in every EPR jurisdiction where they do business,” he added.

AHFA continues monitoring the Oregon case, California litigation and other EPR developments and will address all of these issues during the 2026 Regulatory Summit October 28-29 at the Guilford Technical Community College Conference Center in Colfax, North Carolina. A program overview along with AHFA member and non-member registration is available on the Summit website.