California's milk-pricing plan faces legal threat

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The U.S. Supreme Court ruled Monday that Nevada farmers have the right to challenge California's milk-pricing plan in federal court.

Dairies in Nevada claim that California in 1997 unfairly altered the way it pays milk producers to protect the state's dairies at the expense of farmers elsewhere. A federal district judge will now consider whether the milk-pricing plan is legal.

California has defended the plan as legal and necessary to preserve the state's higher nutritional standards for milk, according to the Associated Press.

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