Problem-massive recall of the potentially contaminated eggs

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Reference no: EM131798899

Problem: Reacting to the massive recall of the potentially contaminated eggs from major egg producers in Iowa, the California legislature passed a law prohibiting the sale of eggs within the state of California that are not obtained from egg laying chickens raised and caged in accordance with "humane standards" set by the California Department of Agriculture. Total Eggs is a major egg producer in the state of Iowa selling close to two billion eggs annually throughout United States.

Total Eggs does not meet the standards passed by the California Department of Agriculture, and has recently been cited by federal health inspectors for violations of federal sanitation standards. 40% of Total Eggs' sales are to purchasers within California. Total Eggs claims it will lose millions of dollars in profits and its business will be substantially harmed by the California legislation.

Total Egg claims that the California law is designed to protect California egg producers from out-state competition. Total Eggs has filed a lawsuit in the federal district court in California seeking to have the California law declared void as both a violation of the dormant Commerce Clause and the Equal Protection Clause. You are the judge. How do you decide? Thoroughly explain your answer.

Reference no: EM131798899

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