Business Tools

How to Avoid Possible Legal Obstacles of California’s Labeling Law

Proposition 65 (Prop 65) is a California law that gives consumers and their attorneys the ability to sue businesses that do not include warning labels on products containing chemicals associated with cancer and birth defects. The law has spawned a predatory trial-lawyer industry focused on using the law to net large settlements. The only companies safe from the reach of Prop 65 are those not producing or selling merchandise in California. Otherwise, if you are a multi-state retailer, distributor or manufacturer whose products end up in California, Prop 65 can be costly if you are not prepared. This article reviews the law and provides some compliance recommendations.