Kate Laurensen is a veteran reporter. She started out covering entertainment news for the local city paper before moving up to the City desk. She studied journalism at San Francisco City College for the Arts.
December 31 , 2025
Newark, Del. -- Novo Nordisk, the Danish pharmaceutical company behind the diabetes and weight-loss drugs Ozempic and Wegovy, has filed a motion in federal court seeking to block the implementation of new state laws that restrict the use of Supplemental Nutrition Assistance Program (SNAP) benefits for purchasing soda and candy.
The company’s legal action targets a group of recently passed laws in several states that aim to curb the purchase of sugary and low-nutrient foods using federal food aid. Supporters of the measures—mostly state officials and public health advocates—say the restrictions will help reduce obesity rates, diabetes prevalence, and related health care costs. Opponents, including Novo Nordisk, argue that such regulations create confusion, stigmatize low-income consumers, and overstep federal authority.
In its court filing, Novo Nordisk contends that the states’ newly adopted rules conflict with federal law, which designates the U.S. Department of Agriculture (USDA) as the sole administrator of SNAP eligibility standards. The company claims the state statutes “violate the uniform federal framework designed to ensure equitable access to food assistance nationwide,” and warns that differing state-level restrictions could complicate participation for major food retailers and beneficiaries alike.
A Novo Nordisk spokesperson said the company’s position focuses on consistent national policy rather than product sales. “Ensuring that SNAP remains governed by clear, federally defined guidelines supports both food security and sound public health policy,” the statement read.
State officials defending the laws maintain their authority to define what can be purchased with state-administered benefits, emphasizing that the restrictions are a step toward promoting long-term health outcomes. “These policies are about encouraging better choices, not punishing families,” one state health official said. “Every taxpayer dollar should support nutrition, not products that contribute to chronic disease.”
Legal experts suggest that the case may test the boundaries of federal preemption under the Food and Nutrition Act, which currently allows SNAP recipients to buy nearly all foods intended for human consumption. If a federal judge grants Novo Nordisk’s request for an injunction, the affected state laws could be delayed until the case is resolved—a process that might take months or even years.
The court’s decision will likely influence not only SNAP policy but also the growing debate over the role of corporate stakeholders in shaping public health legislation. A hearing on the injunction request is expected early next year.
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