On October 2013, the Federal Trade Commission (“FTC”) announced its first action against companies for making deceptive claims about biodegradable plastics. Six companies are charged with making false and misleading environmental claims and include a $450,000 civil penalty against one of the companies.
In five of the enforcement actions, the FTC is addressing biodegradable plastic claims. Four separate complaints and proposed consent orders were filed against companies that market various plastics with allegedly false and unsupported claims that their products were biodegradable.
The fifth company, ECM Biofilms, is charged with FTC Act violations that include misrepresentations that plastics made with ECM additives are biodegradable in a landfill, in a stated qualified timeframe, and that after customary disposal, the plastics will break down within a reasonably short time period. In addition, the FTC alleges that ECM misrepresented the scientific tests cited to validate its biodegradability claims.
FTC Cracks Down on Greenwashing: No Unsubstantiated Environmental Claims
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