New Mexico Small Businesses Challenge Sweeping Labeling Regulation
New Mexico Small Businesses Challenge Sweeping Labeling Regulation
July 2, 2026
NFIB joined a lawsuit challenging a burdensome labeling mandate
SANTA FE, N.M. (July 2, 2026) – NFIB joined a coalition of business organizations in filing a lawsuit at the U.S. District Court for the District of New Mexico challenging a new regulation from the New Mexico Environmental Improvement Board (EIB) requiring small business manufacturers to label products containing poly-fluoroalkyl substances (PFAS). Although PFAS is a catchall term used to describe more than 14,000 substances with varying chemical properties, this sweeping mandate will apply to nearly all products with ingredients that fall under the PFAS umbrella, including many that are integral in the operation of small businesses throughout the state.
“New Mexico small businesses care deeply about the health and safety of their customers and go to great lengths to provide quality products and services that benefit their communities,” said Jason Espinoza, NFIB’s New Mexico State Director. “With many Main Street businesses already navigating rising costs and uncertainty, the last thing they need is another regulation that unnecessarily complicates how they operate and serve their customers.”
“This sweeping, one-size-fits-all mandate is beyond harmful to New Mexico’s small businesses,” said Beth Milito, Vice President and Executive Director of NFIB’s Small Business Legal Center. “This underhanded attempt to manipulate commercial speech does not improve safety or help inform consumers. Instead, it creates a massive compliance burden for thousands of small businesses throughout New Mexico.”
NFIB’s lawsuit argues that the Regulation (NMAC § 20.13.2.13) applies to a broad category of substances, despite insufficient evidence to suggest that all substances under this umbrella pose a threat to public health or the environment. Furthermore, the required label violates the First Amendment, as it is neither factual nor uncontroversial, and thus does not meet the standard required for government mandated disclosures.
The NFIB Small Business Legal Center protects the rights of small business owners in the nation’s courts. NFIB is currently active in more than 40 cases in federal and state courts across the country and in the U.S. Supreme Court.
NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.
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