US federal judge upholds Oregon's packaging EPR programme against constitutional challenge
A US federal district court has upheld Oregon's packaging and foodservice ware extended producer responsibility programme, rejecting a constitutional challenge brought by the National Association of Wholesaler-Distributors on dormant Commerce Clause and Due Process grounds. The 27 August 2026 ruling followed a five-day bench trial and addressed the fee-setting role of the Circular Action Alliance, the sole approved producer responsibility organisation implementing the scheme. NAW, which is also litigating against similar EPR laws in California and Colorado, said it is considering next steps.
Why this mattersA district court ruling upholding Oregon's fee model strengthens the position of packaging EPR schemes facing parallel challenges in California and Colorado.
- A federal judge ruled on 27 August 2026 that Oregon's Recycling Modernization Act does not violate the dormant Commerce Clause or Due Process Clause
- The decision followed a preliminary injunction covering NAW members and a five-day bench trial
- Oregon is one of seven US states with a packaging EPR programme; similar litigation brought by NAW is ongoing in California and Colorado
- The Circular Action Alliance, the sole approved producer responsibility organisation for the programme, collected USD 90m more than it spent in 2025, which the court found not clearly excessive
- NAW's claims included discrimination against interstate commerce, an unreasonable user fee, undue burden on interstate commerce, and improper delegation of regulatory authority to CAA
- The National Association of Wholesaler-Distributors said it is considering its next steps
- NAW filed its notice of appeal on 24 September 2026 with the US Court of Appeals for the Ninth Circuit.
- NAW cites Circular Action Alliance's 2025 annual report showing it collected USD 145.5m and spent USD 56.5m.
- NAW is the sole business plaintiff in Nebraska v. Heller, a 17-state challenge to California's SB 54, with a preliminary injunction hearing set for January 2027.