Has the FTC had it with greenwashing? You might think so since they recently charged Kmart Corp., Tender Corp., and Dyna-E International with making false and unsubstantiated claims that their paper products were “biodegradable.”
If you read some of my previous blog posts, I indicated that I thought we were getting closer to fining companies for false green claims as they do in Europe.
Kmart and Tender have agreed to settle the cases against them; the case against Dyna-E will be litigated. The testimony states that with the recent growth in “green” advertising and product lines, the agency will continue its efforts to ensure that environmental marketing is truthful, substantiated, and not confusing to consumers.
This basically means, get your facts straight and make sure you are truly green before you put it out there for the world to see.
Here is the story on the above retailers and why they were charged:
FTC charged the retailers with making deceptive and unsubstantiated biodegradability claims: Kmart Corp. called its American Fare brand disposable plates biodegradable, Tender Corp. called its Fresh Bath-brand moist wipes biodegradable, and Dyna-E International called its Lightload brand compressed dry towels biodegradable.
Since 1992, the FTC’s “Green Guides” have advised marketers that unqualified biodegradable claims are acceptable only if they have scientific evidence that their product will completely decompose within a reasonably short period of time under customary methods of disposal. In the three complaints announced today, the FTC alleged that the defendants’ products typically are disposed in landfills, incinerators, or recycling facilities, where it is impossible for waste to biodegrade within a reasonably short time.
Kmart and Tender have agreed to orders that bar them from making deceptive “degradable” product claims and require them to have competent and reliable evidence to support environmental product claims. The settlement with Tender also requires it to disclose clearly whether any biodegradable claim applies to the product, the packaging, or component of either. Both settlements contain record-keeping and reporting provisions to assist the FTC in monitoring the companies’ compliance. The third matter, against Dyna-E and its owner, George Wheeler, will proceed in administrative litigation.
Helping You Understand and Profit from Consumer Health and Green Trends
Colette Chandler
