Water Bottle Deposit Law Challenged in New York

According to news sources, a bottled water industry trade association and several companies that produce bottled water have sued New York in federal court seeking to overturn an amendment to the state’s Returnable Container Act imposing a 5-cent deposit on water bottles. Int’l Bottled Water Ass’n v. Paterson, No. 09-4672 (S.D.N.Y., filed May 19, 2009). The original law, reportedly adopted in 1982, was intended to encourage recycling and reduce litter and waste. Currently applying to bottles and cans containing soft drinks, beer and wine coolers, the
5-cent-per-container charge can be recovered by consumers who return their empty cans and bottles to the retailer. The deposit for water bottles containing flavored water, vitamin water and artificial sweeteners becomes effective June 1, 2009. An exception is made for bottled water products with sugar.

While the plaintiffs are not apparently challenging the law’s sustainability goals, their lawsuit takes issue with its new labeling requirements, effective date and the exemption granted to bottled water competitors. They reportedly allege that requiring all bottles covered by the law to contain a New York-specific bar code and forbidding the sale of such bottles outside the state unconstitutionally controls commerce in other states. The complaint also contends that the exception for bottled water with sugar violates the Constitution’s Equal Protection Clause.
Because the law evidently requires labeling, registration, distribution, and redemption changes and gives the industry fewer than 60 days to comply, the companies are also seeking to delay its implementation. See PR Web Press Release, May 19, 2009; BNA Daily Environment Report, May 21, 2009.