In Daniels Sharpsmart v. Smith, published May 2, 2018, the 9th Circuit Court of appeals affirmed a district court decision to issue a temporary restraining order against the California Department of Public Health's enforcement of the California Medical Waste Management Act, but reversed denial of the department's officials' motion to dismiss based on qualified immunity. The plaintiff is an Illinois corporation that handles transport and treatment of medical waste. The corporation does business in California, and is regulated under the MWMA. Under the MWMA, California generated medical waste generally must be incinerated. The plaintiff transported waste generated in California to other states, where means of disposal other than incineration are allowed. The Department took the position that the MWMA governed the plaintiff's disposal of medical waste in other states. The Department issued a notice of violation and imposed a monetary penalty on the plaintiff. The plaintiff sued the Department officials in federal district court, and obtained a TRO against enforcement of the MWMA on disposal of waste out of state.
The 9th Circuit upheld the TRO. It agreed with the district court that the plaintiff was likely to prevail on his claim that the enforcement of the MWMA on disposal of waste outside California violated the Dormant Commerce Clause, the interpretation of the Commerce Clause to bar states from unjustifiably burdening interstate commerce. But the officials were entitled to qualified immunity against any damages liability for enforcing the statute. The law was not clearly established that enforcement of the MWMA on disposal of medical waste generated inside California, but disposed of outside California, was unconstitutional.
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