Australia fines company for lying about the composition of eco-packages (2 photos)
In Australia, trash bag maker Clorox has been fined $8.25 million for falsely claiming its products were made from recycled ocean plastic.
The company advertised that its trash bags and kitchen bags were made from 50% recycled plastic collected from the sea and ocean. But in reality, the bags were made from recycled plastic collected from communities in Indonesia located up to 50 km from the coastline.
From 2021 to 2023, Clorox sold more than 2.2 million bags of the product, generally at a higher price than other brands.
Clorox eco-bags are no longer sold in Australia. Federal Court Judge Penelope Neskovchin found that the company had engaged in greenwashing.
"Consumers were able to buy alternative products, including from Clorox's competitors, and may have purchased products that had more credible environmental benefits or were cheaper," the judge said.
Neskovchin acknowledged that while the case is significant, it is far from the most serious case of misrepresentation related to the environment. “Clorox sincerely believed that its products would help reduce the amount of plastic waste in the ocean and did not intentionally engage in a strategy to mislead consumers,” the court said in its ruling.
The company was also ordered to publish a statement apologizing and explaining the reasons for the violation.
Clorox responded to the court’s decision by stating that it respected the verdict and perceived it as “an opportunity for further development.”