Environmental and consumer protection enforcement action. Oregon Attorney General Dan Rayfield led a coalition of 16 states in filing an amicus brief supporting a lawsuit against the IRS. The challenge contests a new IRS rule that removes a key pathway (5% investment test) for wind and solar projects to qualify for federal clean energy tax credits. The states argue the rule is unlawful, arbitrary, will increase energy costs for families and businesses, and undermine state clean energy goals and investments.
The states are asking the U.S. District Court for the District of Columbia to strike down the new IRS rule and restore the previous, decade-old standards that allowed projects to qualify for tax credits by either starting construction or investing at least 5% of project costs.
In-house legal teams should review vendor, customer, and partnership agreements in the energy and project development sectors where federal clean energy tax credits are a material economic component. Focus on clauses addressing representations and warranties regarding tax credit eligibility, compliance with evolving regulatory requirements, force majeure or changed law provisions, and conditions precedent tied to qualification for tax incentives. Given the IRS rule eliminating the 5% investment test for wind and larger solar projects, contracts may require amendments to reflect new eligibility pathways, renegotiation of economic terms dependent on this pathway, or inclusion of mechanisms to address future regulatory shifts that could impact project viability and return on investment.
Entity
Internal Revenue Service
Also known as: IRS
Industry
OtherOfficial Press Release
https://www.doj.state.or.us/media-home/news-media-releases/ag-rayfield-leads-coalition-supporting-challenge-to-irs-energy-policy-that-could-raise-costs/
RETC 4400 PLD Amicus Brief in Support of Plaintiffs Motion f
https://www.doj.state.or.us/wp-content/uploads/2026/02/RETC-4400-PLD-Amicus-Brief-in-Support-of-Plaintiffs-Motion-for-Summary-Judgment.pdf
Oregon Attorney General Enforcement Page
https://www.doj.state.or.us/consumer-protection/
"challenging a new Internal Revenue Service (IRS) rule"
"Attorney General Dan Rayfield led a coalition of 15 other states today in supporting a lawsuit"
"The states argue the rule is unlawful, arbitrary, and harmful to consumers."
"The states are asking the court to strike down the rule and restore the previous standards"
Attorney General Dan Rayfield and a coalition of 21 attorneys general and Pennsylvania filed lawsuits against the U.S. Department of Transportation, FMCSA, and AAMVA to block demands for a database containing personal information of 17 million commercial drivers. The federal government threatened to withhold $10 million in funding unless the data was turned over, which the coalition argues violates privacy law.
Oregon Attorney General Dan Rayfield co-led a coalition of 10 states in a federal lawsuit against the Office of the Comptroller of the Currency (OCC) to block a rule that invalidates state laws requiring mortgage lenders to pay interest on escrow accounts. The lawsuit argues the OCC's rule oversteps federal authority, gives national banks a competitive advantage over state-chartered banks, and takes money away from homeowners.
A federal judge ruled that Nexstar Media Group violated a court order requiring it to keep TEGNA Inc. operating as an independent company while a multistate antitrust lawsuit challenging the merger proceeds. The court found that Nexstar installed its own executives on TEGNA's board, failed to disclose the appointments, and lacked candor with the court. The court ordered Nexstar to comply immediately, file status reports, respond to discovery, and turn over board and financial documents, with a special master to oversee compliance.
Oregon Attorney General Dan Rayfield, joined by a coalition of 23 other states, the District of Columbia, and two governors, sued the Trump administration to block a new policy by the Administration for Children and Families (ACF) that would allow federal officials to access private records of millions of TANF recipients. The coalition argues the policy illegally shares sensitive personal data, including Social Security numbers and immigration status, with other federal agencies and private organizations, violating the Administrative Procedure Act and the Spending Clause. The lawsuit seeks to declare the policy illegal and block it from taking effect.
Attorney General Dan Rayfield and 49 other state attorneys general sent a letter to the FCC urging stronger 'Know Your Customer' rules to combat illegal robocalls. The coalition requests that phone companies verify customer identities and business practices to prevent scammers from using the network. The letter is part of Phase 2 of Operation Robocall Roundup.
Attorney General Rayfield and a coalition of 49 other attorneys general sent a letter to the FCC urging it to strengthen its Know Your Customer (KYC) rules to combat illegal robocalls. The coalition recommends requiring providers to understand customers' business, applying KYC standards to all providers, and collecting additional information on high-risk customers. No monetary penalty was imposed.