New Prop 65 Settlement Requirement Could Raise Costs, PR Issues For Firms

Product reformulations in the context of Prop 65 settlements will not be seen as conferring a public benefit unless it is demonstrated that expected exposure levels to listed chemicals are reduced, per new regulations adopted in California. The change may have been well-intended, but like other recent reforms to the Prop 65 program, it comes up short and may add to defendants’ costs and headaches, stakeholders say.

Newly adopted amendments to the private-enforcement component of California’s Prop 65 regulations could make it more difficult for firms to settle actions cost-efficiently with minimal reputational harm, critics say.

Effective Oct. 1, the changes are designed to cut down on lawsuits under the law with scant potential for public benefit

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