California’s SB 1249 Could Plant Seeds For New Plaintiff Cottage Industry

A federal judge in the Southern District of New York denied Estee Lauder’s motion to dismiss a securities fraud lawsuit filed by shareholders who said the company concealed its reliance on a gray market retail revenue stream, which ultimately caused sales and the stock price to plunge.

Despite questions surrounding the SEC rule, including disputes being litigated in the US Eighth Circuit, companies must prepare to meet the new climate disclosure requirements in addition to related mandates in California and abroad. Experts emphasize opportunities beyond compliance.

California authorities say predominance of retailers licensed to sell hemp are compliant with ban published effective on 3 October through emergency regulation. But hemp industry’s contesting the regulation in state court, arguing state authorities inappropriately used emergency action to change state law on hemp products legislature passed in 2021.

Plaintiffs in California federal courts seek restitution, damages, and other relief on behalf of themselves and consumers nationwide, whom allegedly were deceived by “Plant-Based” representations on Aveeno and Neutrogena Makeup Removing Wipes.