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Legal Updates

Chemical Industry Regulatory Update – September 2024

A Newsletter from The Adhesive and Sealant Council and Thompson Hine LLP

The chemical industry is subject to complex and ever-evolving laws and regulations. New standards governing the production and use of chemicals are implemented every year worldwide, and existing laws and regulations are constantly changing to keep pace with new information and scientific advancements. Chemical Industry Regulatory Update provides a monthly digest of recent legislative and regulatory developments and related industry news.

A Short Drive to the Sustainability Summit in Cincinnati | September 23-25

The upcoming Sustainability Summit for the adhesive & sealant industry is conveniently located in Cincinnati, which is a short drive for many companies that supply, manufacture, or use adhesives and sealants. This is an important event to send your team to collaborate across the value chain and learn how to create accurate, consistent reporting of sustainability metrics to enable strategic decision making and create the products of tomorrow. You can view the complete program and expert presents here. Skip the airport and drive to this important event!

Manufacturers: EPA’s PFAS Reporting Delay Underscores Massive Administrative Burden

Following the Environmental Protection Agency’s decision to delay the deadline for when companies must submit records dating back to 2011 on per- and polyfluoroalkyl substances, otherwise known as PFAS, National Association of Manufacturers Vice President of Domestic Policy Chris Phalen recently released the following statement on September 4:

“We are pleased to see the EPA delay this retroactive reporting requirement—as the NAM has called for—which will temporarily prevent an increase in the regulatory burden facing manufacturers. More broadly, today’s announcement reflects the massive administrative burden this proposal would impose on both the business community and regulators, while failing to provide insights for effective and prioritized public health efforts. We urge the agency to reverse course entirely, unless and until it has the capacity to effectively enforce the standard.”

View the NAM press release here.

DOD Proposes Rule for Implementing Cybersecurity Maturity Model Certification 2.0 Program

Francis E. Purcell, Jr., Steven G. Stransky, Joseph R. Berger

The Department of Defense (DOD) issued a proposed rule on August 16 addressing the agency’s implementation of the Cybersecurity Maturity Model Certification (CMMC) 2.0 program, which requires contractors to adhere to cybersecurity standards to protect certain types of unclassified information through the defense supply chain. Read more.

Seventh Circuit Confirms ECOA Applies to Prospective Applicants Post-Loper Bright

Jessica E. Salisbury-Copper, Marc B. Minor, Jordan L. Savory

On July 11, 2024, the U.S. Court of Appeals for the Seventh Circuit addressed the Equal Credit Opportunity Act’s (“ECOA”) applicability to prospective credit applicants. In Consumer Fin. Prot. Bureau v. Townstone Fin., Inc., the court held that considering ECOA’s text, Congress authorized liability for discouraging prospective credit applicants, and thus Regulation B’s (“Reg. B”) prohibition on discouraging prospective applicants was, as a result, consistent with ECOA’s text and purpose. Continue reading.

Illinois Enacts State Laws Regulating AI Use in Employment

Julie D. Honor, M. Scott Young

On August 9, 2024, Illinois Governor Pritzker signed House Bill (HB) 3773 into law, amending the Illinois Human Rights Act to expressly prohibit the use of artificial intelligence in a manner that results in illegal discrimination in employment decisions and employee recruitment as defined under state law. The amendments to HB 3773 go into effect on January 1, 2026.

HB 3773 regulates both traditional artificial intelligence, which has been in use for decades, and generative artificial intelligence. It defines artificial intelligence as a machine-based system that, for explicit or implicit objectives, infers, from the input it receives, how to generate outputs such as predictions, content, recommendations, or decisions that can influence physical or virtual environments. Generative artificial intelligence, under HB 3773, is defined as an automated computing system which, when prompted with human prompts, descriptions, or queries, can produce outputs that simulate human-produced content. Explore further.

Texas Court Blocks FTC Noncompete Rule

Deborah S. Brenneman, Nancy Barnes, Brittany A. Mallow

On August 20, a federal judge in Texas struck down the Federal Trade Commission’s (FTC) looming rule banning noncompete agreements for virtually all U.S. workers.

The rule, which was announced in April and set to take effect on September 4, was immediately challenged by a flurry of litigation. One of those cases was Ryan LLC vs. Federal Trade Commission, filed in the Northern District of Texas and assigned to Trump appointee Judge Ada Brown. The U.S. Chamber of Commerce and other business groups filed a separate lawsuit in Texas, which was later joined with the Ryan litigation. Continue reading.

Check out the latest Employment Legislation Outlook. This monthly digest is designed to keep you apprised of upcoming major state law changes in areas including paid sick and safe leave laws, family and parental leave, recreational and medicinal marijuana use, workplace gun laws, asking candidates about salary history and unpredictable scheduling.

Looking for Adhesive & Sealant Training?

ASC’s Training Academy Certificate Program offers a convenient and cost-effective, web-based method of workforce training ideal for new or new to a role staff and professionals. A variety of flexible and affordable subscription options are available.

For more information, contact the editor, Devin A. Barry, or any of the authors.

Chemical Industry Regulatory Update is compiled by Thompson Hine lawyers on behalf of The Adhesive and Sealant Council. It should not be construed as legal advice, and the views and opinions expressed herein are those of the authors and do not necessarily reflect those of the ASC or its members.

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