Dive summary:

• Michigan, which has the highest plastic bottle deposit rate in the country, has lost a legal battle requiring all bottles and cans manufactured in Michigan to have Michigan-specific markings.
• The bill was rejected in federal appeals court after the American Beverage Association objected on the ground that the requirement essentially forced them to make a Michigan-only product, an unfair burden for them.
• Michigan is one of ten states that require a deposit on plastic bottles; in a 1998 a study estimated that the state loses $15.6 million to $30 million every year from collectors bringing in bottles from other states.

From the article:

The Sixth Circuit Court of Appeals in Cincinnati, in a ruling Thursday, Nov. 30, said that because Michigan’s “unique-mark requirement forces manufacturers and distributors of beverage containers to adopt the state’s unique labeling system, without the consideration of other less burdensome alternatives, Michigan’s unique-mark requirement has an impermissible extraterritorial effect.”

U.S. District Judge Gordon Quist in Grand Rapids had ruled that the law was not extraterritorial - or, intended to harm businesses outside of the state.

But, he said: “This leaves open the issue of whether the burden on interstate is clearly excessive in relation to (the state’s) benefits.” ...