State of California v. Del Rosa (9th Cir. - Nov. 7, 2025)

It's rare to see the State of California as a plaintiff. But here, it sues a corporation that's owned by an Indian tribe, alongside some individual defendants, who are illegally selling cigarettes to non-tribal members without paying the required taxes -- all in violation of federal law.

Good for California, I say.

It's also stunning to see both how long this litigation has taken -- California first started its attempts to enforce federal law against the defendants back in 2018 -- as well as how powerless the federal courts have been in the underlying litigation. The district court entered a preliminary injunction in 2023, and the Ninth Circuit affirmed in 2024, and yet according to footnote five of today's opinion, here's how effective that injunction has been:

"Defendants apparently have not complied with the preliminary injunction. In February 2024, following a contempt motion by California, the district court found that California “provided evidence showing Azuma has continued to deliver cigarettes on its own behalf” “to the same customers previously identified in the preliminary injunction record.” Even after California filed for contempt, but before the district court ruled, Azuma “shipped an estimated additional 2.5 million cigarettes” in violation of the preliminary injunction. In February 2025, California filed a notice of violation that “the distribution of Azuma cigarettes ha[d] continued uninterrupted,” and that Azuma had distributed over 29 million cigarettes since February 2024."

Bold indeed.

Let's hope that future enforcement efforts are a bit more rigorous.