Ingredient Communication Council, Inc. v. Lungren

2 Cal. App. 4th 1480, 4 Cal. Rptr. 2d 216, 92 Daily Journal DAR 1410, 92 Cal. Daily Op. Serv. 887, 1992 Cal. App. LEXIS 88
CourtCalifornia Court of Appeal
DecidedJanuary 28, 1992
DocketC007628
StatusPublished
Cited by15 cases

This text of 2 Cal. App. 4th 1480 (Ingredient Communication Council, Inc. v. Lungren) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ingredient Communication Council, Inc. v. Lungren, 2 Cal. App. 4th 1480, 4 Cal. Rptr. 2d 216, 92 Daily Journal DAR 1410, 92 Cal. Daily Op. Serv. 887, 1992 Cal. App. LEXIS 88 (Cal. Ct. App. 1992).

Opinion

Opinion

PUGLIA, P. J.

The Ingredient Communication Council, Inc. (ICC) is a nonprofit membership corporation doing business in California. Its membership consists of 37 manufacturers, retailers and agricultural producers involved in marketing thousands of products in retail stores in California which may be subject to regulation pursuant to Proposition 65, the Safe Drinking Water and Toxic Enforcement Act of 1986 (Act). (Health & Saf. Code, § 25249.5 et seq.) ICC was founded in 1987 to establish for the benefit of its members a consumer notification and warning program, using an 800 line telephone system in combination with newspaper advertising and in-store signs designed to promote consumer inquiries using the 800 line system. ICC designed this program to assist its members in complying with the warning requirements of the Act.

ICC brought an action for declaratory relief against the state Attorney General seeking an authoritative interpretation of a regulation issued by the state Health and Welfare Agency pursuant to the Act and a declaration that ICC’s system for warning consumers about carcinogenic and toxic substances contained in its products in retail stores, using a combination of in-store signs, newspaper advertisements and a toll-free telephone number, satisfies the “clear and reasonable warning” requirement of the Act and the *1484 regulation. The Attorney General cross-complained, seeking a declaration that the ICC system does not provide clear and reasonable warning.

The trial court interpreted the regulation at issue and declared the ICC system did not comply with the regulation as construed or the Act. 1 ICC appeals, contending the trial court (1) misinterpreted a portion of the regulation (Cal. Code Regs., tit. 22, § 12601, subd. (b)(1)(C)); (2) applied the wrong standard in determining the adequacy of ICC’s warning system, and (3) provided an inadequate statement of decision. We shall affirm.

I

The Regulatory Scheme

The Act provides that “[n]o person in the course of doing business shall knowingly and intentionally expose any individual to a chemical known to the state to cause cancer or reproductive toxicity without first giving clear and reasonable warning to such individual . . . .” (Health & Saf. Code, § 25249.6, italics added; further statutory references to sections of an undesignated code are to the Health and Safety Code.) 2 Such warning “need not be provided separately to each exposed individual and may be provided by general methods such as labels on consumer products, . . . posting of notices, placing notices in public news media, and the like, provided that the warning accomplished is clear and reasonable.” (§ 25249.11, subd. (f), italics added.) Violation of the Act may be enjoined and shall give rise to civil liability “not to exceed $2500 per day for each such violation . . . .” (§ 25249.7.) The Attorney General may bring an action to enforce the Act. (§ 25249.7, subd. (c).)

The Act requires the Governor to “designate a lead agency and such other agencies as may be required to implement [its provisions]. Each agency so *1485 designated may adopt and modify regulations, standards, and permits as necessary to conform with and implement the provisions of [the Act] and to further its purposes.” (§ 25249.12.)

On January 6, 1987, the Governor designated as lead agency the state Health and Welfare Agency (Agency). (Cal. Code Regs., tit. 22, § 12102, subd. (e).) On September 25, 1987, the Agency issued a draft regulation through which it sought to provide guidance regarding the adequacy of warning schemes—i.e., whether the message conveyed is “clear” and whether the method of conveyance is “reasonable.” Included within this draft regulation were examples of messages and warning methods deemed by the Agency to be clear and reasonable. These “safe harbor” warning schemes, so called because their use constitutes compliance with the Act without the necessity of a case-by-case factual determination, included, for consumer products, labels on the products affixed by the manufacturer and identification of the products by the retailer through cash register receipts, shelf labels, signs, menus or a combination of these methods. 3

On December 3, 1987, a public hearing was conducted concerning the draft regulation. The Grocery Manufacturers of America proposed adding another warning scheme to the regulation’s safe harbor provisions to consist of “three major elements: (a) News media notices. H] (b) An in-store information sign. [][] (c) A toll-free 800 telephone line.”

The regulation eventually issued by the Agency, California Code of Regulations, title 22, section 12601 (hereafter title 22, section 12601), was substantially the same as the draft. However, to the safe harbor provisions in *1486 title 22, section 12601, subdivision (b) was added a warning scheme similar to that proposed by the Grocery Manufacturers of America but qualified by the requirement that such scheme provide clear and reasonable warnings. (Tit. 22, § 12601, subd. (b)(1)(C).)

During the ensuing public comment period, the Attorney General, among others, indicated opposition to the additional warning scheme. The Agency nevertheless decided to retain that scheme in its final regulation. In its final statement of reasons (Gov. Code, § 11346.7, subd. (b)), the Agency explained that decision as follows: “The purpose of the Agency in adopting this provision is simply to acknowledge the possibility that a legally sufficient warning system could be developed. That is why the reference to such systems is qualified by the language ‘. . . that provides clear and reasonable warnings.’ The Agency does not believe that such systems are clear and reasonable per se by virtue of their mere existence, and the Agency takes no position on the legal sufficiency of any particular system.”

As issued in final form, subdivision (a) of title 22, section 12601 defines in general terms what is a clear and reasonable warning: “Whenever a clear and reasonable warning is required under section 25249.6 of the Health and Safety Code, the method employed to transmit the warning must be reasonably calculated, considering the alternative methods available under the circumstances, to make the warning message available to the individual prior to exposure. The message must clearly communicate that the chemical in question is known to the state to cause cancer, or birth defects or other reproductive harm. ...” (Italics added.)

Subdivision (b) of title 22, section 12601 contains the safe harbor provisions. At the time of trial, it read in relevant part: “Warnings for consumer products exposures which include the methods of transmission and the warning messages as specified by this subdivision shall be deemed to be clear and reasonable. . . . H] (1) The warning may be provided by using one or more of the following methods singly or in combination: [*}[] A. A warning that appears on a product’s label or other labeling. . . . [*¡1] B.

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2 Cal. App. 4th 1480, 4 Cal. Rptr. 2d 216, 92 Daily Journal DAR 1410, 92 Cal. Daily Op. Serv. 887, 1992 Cal. App. LEXIS 88, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ingredient-communication-council-inc-v-lungren-calctapp-1992.