Jody Godoy

(Reuters) – California’s law requiring public companies to have women on boards was declared unconstitutional by a state judge, resulting in another setback for the state’s efforts to diversify corporate leadership.

On Friday, Maureen Duffy Lewis, Los Angeles Superior Court judge, ruled in favor California taxpayers. They sought to stop the enforcement of the law’s provisions, according to Hannah Jackson, ex-California State Senator.

Jackson stated that she believed the state would appeal and win.

Monday afternoon’s ruling was unavailable on the website of the court.

In 2019, three taxpayers challenged the law, claiming that it was sex discrimination against the constitution of the state.

California’s secretary to state had opposed the law in court, saying that there was a strong interest by the state in gender diversity at boards. Also that the law was written to correct a long-standing problem of women being on boards.

Representatives of the plaintiffs and Judicial Watch did not reply immediately to our requests for comment.

In 2018, this law was adopted. The statute requires publicly owned companies with California headquarters to employ at least three women directors. There have not been any fines.

Judicial Watch has won another taxpayer challenge of a California law similar to that requiring directors to be members of an “underrepresented group.” That includes Asian, Black Latino and Pacific Islander persons as well those who are homosexual, lesbians, bisexual, or transgender.