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California Attorney General Files Lawsuit Against Plastic Bag Manufacturers

10/21/2025, 1:01:30 PM

Overview of the Lawsuit

On October 17, 2025, California Attorney General Rob Bonta announced a lawsuit against three plastic bag manufacturers: Novolex Holdings LLC, Inteplast Group Corp., and Mettler Packaging LLC. The lawsuit alleges violations of California's Senate Bill 270, which bans non-reusable plastic bags, as well as the Environmental Marketing Claims Act (EMCA), False Advertising Law (FAL), and Unfair Competition Law (UCL). The state claims that these manufacturers falsely labeled their plastic bags as recyclable, despite evidence indicating that most recycling facilities in California do not accept them.

Investigation Findings

The lawsuit follows a three-year investigation initiated by Bonta's office in November 2022, which sought to verify the recyclability claims made by plastic bag producers. The investigation revealed that out of 69 surveyed recycling facilities, only two claimed to accept plastic bags, and neither could confirm that they actually recycled them. The attorney general's office stated that the majority of plastic bags sold in California end up in landfills, incinerators, or the environment, undermining the state's efforts to reduce plastic waste.

Legal Implications and Penalties

The lawsuit seeks monetary penalties, disgorgement, and injunctive relief against the accused manufacturers. Under the EMCA, violators can face penalties of up to $2,500 per violation, while the FAL and UCL carry similar penalties. The suit claims that since the enactment of SB 270 in 2016, the manufacturers have sold over 4.3 billion plastic carryout bags in California, generating at least $33.2 million in revenue from 2020 to the present.

Settlements with Other Producers

On the same day as the lawsuit announcement, Bonta revealed that four other plastic bag producers—Revolution Sustainable Solutions LLC, Metro Poly Corp., PreZero US Packaging LLC, and Advance Polybag Inc.—had reached a settlement with the state. These companies agreed to collectively pay approximately $1.8 million and cease plastic bag sales in California. This settlement is viewed as a step toward holding companies accountable for misleading recyclability claims.

Broader Context and Future Regulations

The lawsuit and settlements are part of California's broader initiative to combat plastic pollution and strengthen recycling standards. New regulations set to take effect in 2026 will allow only recyclable paper bags to be distributed by retailers, further tightening restrictions on plastic packaging. Bonta emphasized that the legal actions send a clear message that corporations are not exempt from environmental laws.

Criticism and Opposition

While the lawsuit has been largely supported by environmental advocates, some industry representatives have expressed concerns about the implications for businesses. Advance Polybag's Chief Operating Officer, Rex Varn, stated that while the company stands by the recyclability of its products, settling the lawsuit was deemed a prudent business decision given the uncertainties of prolonged litigation.

Verbatim Quotes

  • “Truth matters. Public trust matters. Environmental protection matters.” — Rob Bonta, California Attorney General
  • “Even when consumers have properly disposed of these bags, they’ve overwhelmingly not been recycled in California,” — Rob Bonta, California Attorney General
  • “Through our investigation, we are bringing to light how powerful companies have broken the law and prioritized profits over our environment,” — Rob Bonta, California Attorney General

This lawsuit marks a significant step in California's ongoing efforts to address plastic pollution and enforce environmental regulations against misleading marketing practices.