UPS Sues NY Over $2 Million Penalty for Lack of Delivery Decals

United Parcel Service Inc. wants a federal court in New York to strike down the state’s fee for registering delivery vehicles and an associated penalty that caused the company to wrack up a $2 million assessment over three years.

New York requires companies like UPS to buy a $1.50 decal for every truck that operates on public highways in the state, even those just passing through. The scheme is preempted by a federal law protecting motor carriers and violates the commerce and excessive fines clauses of the US Constitution, the company told the US District Court for the Western District ...