A federal judge ruled Tuesday that Nestlé can continue to bottle water from drought-stricken Southern California, even though the permit which allows the company to pipe water from the San Bernardino National Forest expired in 1988.
Despite a devastating, five-year drought in California, Nestlé piped about 36 million gallons from the forest last year. That water is transported to Canada for bottling, and the end product appears in stores under the Arrowhead brand. Under the current agreement, Nestlé pays the U.S. Forest Service an annual permitting fee of $524 to run its pipeline.
U.S. District Court Judge Jesus G. Bernal ruled that although the permit expired 28 years ago, Nestlé can keep bottling water because corporate executives attempted to renew the permit in May 1987, but did not hear back from the Forest Service.