The legal challenge against the EPA perc rule gets a green light from the federal court

The legal challenge against the EPA’s rule that substantially limits the use of perchloroethylene received a green light from a federal court. On May 23rd, the U.S. Court of Appeals for the Fifth Circuit denied the EPA’s request for an indefinite extension of the stay was denied and granted a limited 90-day extension. The court emphasized the need to balance regulatory revisions with the ongoing legal process.

The legal challenge was filed in January 2025 to contest a final rule issued by the EPA under the Toxic Substances Control Act (TSCA) that imposes significant restrictions on the use of perchloroethylene (PCE), a solvent commonly used in dry cleaning and industrial applications.

The petitioners are FabriClean Supply, Technical Chemical Company, Olin Corporation; American Chemistry Council, Georgia Chemistry Council, Ohio Chemistry Technology Council and Center for Environmental Health.

The EPA’s rule, published on December 18, 2024, aims to phase out many uses of PCE due to health and environmental concerns. The petitioners argue that the rule violates TSCA and the Administrative Procedure Act, seeking to have it vacated.

In response to the litigation, the Fifth Circuit initially stayed the proceedings for 60 days in March 2025 to allow the EPA time to reconsider the rule. The EPA later requested an indefinite extension of the stay to further revise the rule.

This case is part of a broader trend of legal challenges to EPA regulations under TSCA during the Biden administration, reflecting tensions between regulatory agencies and industry stakeholders over chemical safety standards.

Lee Zeldin, the EPA Administrator appointed last January by Trump has announced that the agency will undertake 31 historic actions in the greatest and most consequential day of deregulation in U.S. history, to advance President Trump’s Day One executive orders and Power the Great American Comeback.

“Today is the greatest day of deregulation our nation has seen. We are driving a dagger straight into the heart of the climate change religion to drive down cost of living for American families, unleash American energy, bring auto jobs back to the U.S. and more,” said EPA Administrator Zeldin.


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