Environmental Marketing Claims: Regulatory And Litigation Outlook

As consumers, investors, and other stakeholders are focused more than ever on the impacts of their purchasing and investment decisions, companies are seeking to convey information on the environmental attributes of their products and services as well as their sustainability performance. Yet the risks associated with these claims and communications are increasing. In recent months, there has been a notable uptick in lawsuits, NGO reports, and consumer protection agency actions alleging that corporate environmental or sustainability-related statements are overstated, false, deceptive, or misleading. Meanwhile, in response to the latest environmental concerns, companies are making new kinds of claims that are not sufficiently addressed in existing regulatory guidance.