It´s Not Easy Being Green: ACCC Cracks Down On Environmental Claims

Key Point

• The ACCC's new Green marketing and the Trade Practices Act highlight some potential pitfalls for companies making such claims in connection with their products.

The Australian Competition and Consumer Commission recently released its green marketing guidelines entitled Green marketing and the Trade Practices Act, which seek to:

• ensure consumers receive accurate information about environmental claims; and

• set out what the ACCC would consider to be a breach of the Trade Practices Act when making claims about "green" or "environmentally friendly" products.

A breach of the Trade Practices Act as a result of misleading "green" claims made on advertising, packaging, labelling and promotions could cost companies up to $1.1 million in criminal fines as well as additional costs such as those associated with rectifying the claims