A U.S. federal court refused to intervene in the dispute over the renewal of non-domiciled Commercial Driver's Licenses (CDL) in California, supporting the right of federal regulators to continue pressuring the state. The decision was an important signal for drivers, companies, and CDL schools across the country.
The issue concerns the so-called non-domiciled CDL — commercial driver's licenses issued to drivers who do not have permanent residency status in the U.S. but are allowed to work temporarily. In the fall of 2025, the Federal Motor Carrier Safety Administration (FMCSA) concluded that California was systematically violating federal requirements in issuing and renewing such licenses.
As a result, the state suspended the renewal of non-domiciled CDL, and several driver associations attempted to challenge this decision in court.
According to the industry publication FreightWaves, the federal court refused to grant the plaintiffs' motion to compel the resumption of renewals. The judge noted that:
"The public interest and potential consequences for the entire state licensing system outweigh the individual harm pointed out by the applicants."
The decision was made in January 2026. The court also considered the risk that further non-compliance could lead to much harsher sanctions — up to the loss of California's right to administer the CDL program. Details of the case are outlined in the article Court won’t force California revival of non-domiciled CDL renewals.
On September 26, 2025, FMCSA sent the state an official notice demanding the immediate suspension of issuing and renewing non-domiciled CDL and conducting a comprehensive review of previously issued licenses. According to the agency, a significant portion of the licenses was issued in violation of federal rules.
In January 2026, federal authorities went further and announced financial sanctions against California. FMCSA representatives stated that non-compliance could cost the state hundreds of millions of dollars in federal funding. The agency's official position and updates on this issue are published on the Federal Motor Carrier Safety Administration website.
The California Department of Motor Vehicles (DMV) confirmed that it temporarily halted operations with non-domiciled CDL in accordance with FMCSA requirements. Meanwhile, state authorities claim they are working on adjusting procedures and interacting with the federal regulator to minimize harm to drivers and businesses.
Current information for drivers is published by the DMV on its official portal — California Department of Motor Vehicles.
For thousands of drivers, the situation remains uncertain: without a valid CDL, they cannot legally work, and the legal route has yet to yield results. For the industry as a whole, this case has become a precedent, showing that federal CDL requirements will be enforced strictly, even if it affects large states and significant groups of workers.
The court's decision made it clear: until California brings its procedures into full compliance with federal standards, there is no hope for the resumption of non-domiciled CDL renewals.