The fashion industry is shifting. Sustainability is no longer just a marketing message. It is becoming a legal requirement. States across the U.S. are passing laws that force brands to take responsibility for the environmental impact of their products from production to disposal. And while these regulations may feel new here, the U.S. is playing catch-up to stricter legislation already in place across the EU.
New York introduced Senate Bill S4746 (Amendment B), requiring textile recovery and environmental accountability. California followed with SB707, the Responsible Textile Recovery Act of 2024, and AB405, the Fashion Environmental Accountability Act of 2025. These laws require brands to manage textile waste and track their emissions. Other states are now introducing similar Extended Producer Responsibility, or EPR, laws that hold brands accountable for the full lifecycle of their products.
Brands that wait too long to adapt to these new regulations will face financial penalties, reputational damage, and operational challenges. Those that act now will not only stay compliant but will also position themselves as leaders in sustainable fashion.
We know it’s confusing. We know it’s hard to navigate. We are here to help.
The State of Fashion Legislation: What’s Happening Now
Lawmakers in multiple states are setting new sustainability requirements for fashion brands.
New York - Senate Bill S4746 (Amendment B)
New York was one of the first states to introduce a legislative framework targeting the fashion industry’s environmental impact. Senate Bill S4746 (Amendment B), introduced in February 2023, sets the foundation for textile recovery and sustainable production practices by requiring brands to take responsibility for post-consumer textiles.
This law focuses on several key areas:
- Mandatory Textile Waste Management – Brands must participate in take-back programs that ensure textiles are either reused, repurposed, or recycled rather than ending up in landfills.
- Extended Producer Responsibility (EPR) Compliance – Retailers and manufacturers must implement processes that align with New York’s broader sustainability goals, including waste diversion and circularity programs.
- Reporting and Transparency Requirements – Fashion brands operating in New York must provide detailed reports on their textile waste reduction efforts, including how much material is diverted from landfills each year.
While this bill does not impose the same direct penalties as California’s SB707, it places a significant compliance burden on brands that do business in New York. Those that do not invest in circular programs may struggle to meet the new requirements.
California - SB707 (Responsible Textile Recovery Act of 2024)
California took New York’s approach one step further by making textile waste recovery legally enforceable. SB707, the Responsible Textile Recovery Act of 2024, requires brands to take full responsibility for end-of-life product management and establish structured programs to recover, recycle, and dispose of textiles responsibly.
The bill includes several major compliance mandates:
- Producer Responsibility Organization (PRO) Requirement – By July 1, 2026, brands selling apparel, footwear, and household textiles must join a state-approved PRO to ensure their products are collected and processed correctly at the end of their lifespan.
- Retailer Participation in Collection Programs – Large retailers must offer free take-back services for consumers to return used clothing and textiles, creating a statewide recycling infrastructure.
- Financial Penalties for Non-Compliance – Unlike New York’s approach, California enforces fines and penalties on brands that fail to meet textile recovery targets. The law is structured similarly to California’s existing EPR programs for electronics and packaging waste.
SB707 represents the most aggressive fashion sustainability legislation in the U.S. and is expected to push more states to implement similar take-back and circular economy initiatives.
California - AB405 (Fashion Environmental Accountability Act of 2025)
While SB707 targets waste recovery, AB405 (Fashion Environmental Accountability Act of 2025) focuses on carbon footprint reduction. It is designed to force brands to track and reduce their environmental impact through stricter reporting requirements.
Under AB405, fashion brands must:
- Measure and disclose their greenhouse gas (GHG) emissions from production to end-of-life disposal.
- Set reduction targets aligned with California’s climate goals to lower industry-wide emissions.
- Submit an annual Environmental Due Diligence Report starting in 2027, outlining their sustainability efforts, emissions data, and progress toward meeting reduction targets.
The bill builds on California’s existing carbon disclosure laws that apply to businesses with over $1 billion in annual revenue, expanding the requirements to include fashion brands regardless of their revenue size.
Together, SB707 and AB405 form the strictest sustainability regulations for fashion in the U.S. and are likely to serve as a model for other states. Brands that operate nationally should start preparing now, as compliance is expected to be both expensive and logistically complex.
These laws mark a major turning point for the industry, forcing brands to rethink their approach to sustainability, waste management, and emissions reporting. While compliance may seem overwhelming, brands that proactively invest in resale, take-back, and circularity programs will have a competitive edge as regulations continue to expand across the country.
What Other Legislation is Coming Down the Pipe?
Sustainability regulations are no longer limited to the coasts. States across the country are recognizing the environmental impact of fast fashion and textile waste and are taking legislative action. While some bills are still in the early stages, brands should expect these policies to expand nationwide.
New York - Senate Bill S3217 (Textile EPR Bill)
New York is expanding sustainability regulations with Senate Bill S3217, introduced in January 2025. This bill proposes the creation of an Extended Producer Responsibility program for textiles.
- Requires fashion brands to submit an EPR plan by December 31, 2026, outlining how they will collect and manage post-consumer textile waste
- Establishes a statewide textile collection system for recycling, reuse, and proper disposal
- Creates financial penalties for non-compliance and incentives for brands that meet or exceed sustainability targets
This bill builds on the foundation of California’s SB707 by requiring proactive participation in textile recovery programs.
Washington - House Bill 1420 (Textile EPR Bill)
Washington introduced House Bill 1420 in early 2025 to establish an Extended Producer Responsibility program for textiles.
- Requires manufacturers and retailers to fund and operate take-back programs for clothing and textiles
- Sets minimum recycling and reuse targets that must be met by 2030
- Bans the destruction of unsold or returned textiles, pushing brands to donate or recycle instead
Washington has already implemented strong EPR laws for electronics and packaging. House Bill 1420 is part of a broader effort to regulate industries contributing to environmental waste.
Massachusetts - House Bill 2058 (Sustainable Textile Industry Act)
Massachusetts is taking a broader EPR approach by introducing regulations that require transparency and accountability from fashion brands.
- Requires fashion brands to track and report textile waste and sustainability efforts
- Establishes a textile waste reduction target, with penalties for brands that fail to meet recycling and recovery quotas
- Bans the destruction of unsold apparel and requires products to be repurposed, donated, or recycled
Massachusetts has structured its bill with economic incentives rather than strict penalties, making it less rigid than California’s SB707.
Oregon, Connecticut, and New Jersey - EPR Discussions Underway
Oregon, Connecticut, and New Jersey are drafting EPR bills for textiles. While no formal legislation has been introduced yet, discussions are focused on policies that will likely follow New York and California’s lead.
- State-funded textile recycling programs that require brand participation
- Take-back mandates similar to Washington’s proposal
- Producer reporting requirements on waste reduction, textile sourcing, and emissions
These states have already enacted EPR laws for packaging and plastics. Expanding those laws to include textiles is a logical next step.
Why This Matters for Brands
These laws are not just a trend. They signal where the industry is headed. Brands that do not plan for sustainability compliance now will find themselves at a disadvantage.
Brands that delay action will face:
- Regulatory fines for non-compliance
- Reputational damage as competitors market their sustainability-first approach
- Operational challenges when scrambling to implement new programs
Brands that take action now will benefit from:
- Stronger consumer trust by leading in sustainability
- Compliance that becomes a marketing advantage
- Optimized operations that prevent future disruptions
How Brands Can Prepare Now
If your brand is looking to future-proof against sustainability regulations, these steps will help.
Build a Circular Model Today
Resale, trade-in, and upcycling programs are moving from voluntary initiatives to regulatory requirements. Brands like Patagonia, Arc’teryx, and Levi’s have already built strong circular programs.
Start Measuring and Reporting Emissions
New laws, especially AB405, require greenhouse gas reporting. Even if your state has not passed similar legislation yet, industry-wide compliance is becoming inevitable.
Implement Take-Back and Recycling Programs
Laws like SB707, S3217, and HB1420 require brands to take responsibility for end-of-life product disposal. Partnering with textile recyclers or building an in-house take-back system will ensure compliance and improve sustainability efforts.
Stay Ahead of Policy Changes
Sustainability laws are evolving quickly. Brands that stay informed and adapt will be in a stronger position to meet future compliance requirements without last-minute adjustments.
Final Thoughts: It’s Time to Take Action
New York led the way. California built on that momentum. Now other states are joining the effort. Lawmakers across the country are making it clear that fashion brands are responsible for what happens to their products before, during, and after sale.
The brands that take action now will stay ahead of regulations and establish themselves as sustainability leaders. Those that wait will struggle to keep up.
Want to Stay Ahead? Let’s Talk
At Treet, we help brands future-proof against sustainability regulations with seamless resale and circularity solutions. Ready to build a compliant, future-ready brand? Let’s chat.
