Federal Government Accuses California of Causing Elevated Egg Costs under Trump Administration
In January, Emily Metz, the president and CEO of the American Egg Board, discussed the bird flu crisis and the move towards cage-free farming on the Progressive Grocer's TWIG Podcast. Meanwhile, a significant legal battle is unfolding in the United States, with the Department of Justice (DOJ) filing a lawsuit against the state of California over Proposition 12.
The DOJ lawsuit, filed in July 2025, challenges Proposition 12, alleging it violates federal law and causes substantial increases in egg prices. The lawsuit claims that Proposition 12's animal welfare standards, which ban the sale of pork and egg products from animals in crowded pens and cages, impose "burdensome and unnecessary" regulations that inflate egg prices and reduce consumer surplus. The DOJ argues that federal law, specifically the Egg Products Inspection Act, preempts these state standards.
The lawsuit targets California Governor Gavin Newsom, Attorney General Rob Bonta, and the state for effectively preventing common farming practices used nationwide and making products like eggs less affordable. The case was filed in a federal court in Los Angeles, with expectations it could eventually reach the Supreme Court. However, the Supreme Court previously upheld Proposition 12 in 2023 in a separate lawsuit, complicating predictions for this case.
California officials have publicly dismissed the lawsuit as politically motivated, with Governor Newsom’s office accusing the president of blaming California unfairly. The DOJ's complaint alleges that California's laws impose costly requirements on farmers, raising egg prices for American consumers. The lawsuit claims that California's laws, including Proposition 12, impose burdensome red tape on the production of eggs and poultry products nationally.
The economic impact of Proposition 12 continues to be a topic of discussion in Congress, with hearings revealing concerns from pork producers about compliance costs and market effects. Legislative attempts like Iowa Sen. Joni Ernst’s Food Security and Farm Protection Act seek to limit states’ ability to impose such animal welfare rules, though none have yet passed.
The Humane World for Animals and Humane World Action Fund have issued statements regarding the lawsuit against California. Sara Amundson, president of the Humane World Action Fund, stated that the lawsuit is about politics, not constitutional law. Kitty Block, president and CEO of Humane World for Animals, stated that the DOJ is using tax dollars to fight a battle that's already been settled. The organisations view these laws as commonsense animal welfare standards, not regulatory burdens.
The Centre for the Environment and Welfare (CEW) is applauding the Trump administration's effort to nullify California regulations. The CEW has been trying to dismantle Prop 12 since its conception and launched a public education "Food Price Fix" campaign in May.
Amidst this legal battle, the bird flu outbreaks have sparked supply and demand volatility at the beginning of the year. Several retailers, including Trader Joe's, Costco, and Whole Foods Market, imposed purchasing limits due to egg shortages. In a positive note, Natural Grocers has partnered with Contented Hen to sell a premium egg product line at special prices for Npower members.
The DOJ's lawsuit against California, Gov. Gavin Newsom, Attorney General Rob Bonta, and other state officials is a significant development in the ongoing debate over animal welfare standards and their impact on consumer prices. As the case progresses through the federal courts, the outcome could have far-reaching implications for the agricultural industry and consumer rights.
The DOJ's lawsuit against California over Proposition 12 is a significant development in the ongoing debate, part of the politics and policy-and-legislation surrounding war-and-conflicts that affect both the agriculture industry and consumer rights. The lawsuit, which alleges that Proposition 12's animal welfare standards cause substantial increases in egg prices, could have far-reaching implications for general-news topics such as crime-and-justice, as it questions the balance between consumer costs and animal welfare.
The Humane World for Animals and Humane World Action Fund view these laws as commonsense animal welfare standards, not regulatory burdens that involve crime-and-justice issues, and have criticized the lawsuit as politically motivated. Meanwhile, the Centre for the Environment and Welfare is applauding the Trump administration's effort to nullify California regulations, further highlighting the politics and policy-and-legislation at play in this ongoing debate.
