Specificity of Environmental and Advertising Claims

Specificity

An environmental marketing claim should specify whether it refers to the product, the packaging or both, or just to a component of the product or its packaging.

A box of cereal is labeled "recycled package." The package consists of a paperboard box with a wax paper bag inside holding the cereal. By itself, the claim "recycled package" could apply to both the box and the bag. If only the box is recycled, the claim is deceptive. It should be qualified to say, for example, "recycled box."

A steel can that contains vegetables is labeled "recycled." No qualification is necessary for this claim because it is obvious to consumers that the can is recycled-not the vegetables.

Qualifications (that is, disclosures or explanations) pertaining to an environmental claim should be clear, prominent and understandable. Clarity can be achieved through the size of the type face, proximity of the qualification to the claim being qualified, and absence of contrary language that could undercut effectiveness.

The Federal Trade Commission (FTC) seeks to prevent deception and unfairness in the marketplace. The FTC Act gives the Commission the power to bring law enforcement actions against false or misleading marketing claims, including environmental or "green" marketing claims. The FTC issued its Environmental Guides, often referred to as the "Green Guides," in 1992, and revised them most recently in 1998. The Guides indicate how the Commission will apply Section 5 of the FTC Act, which prohibits unfair or deceptive acts or practices, to environmental marketing claims.

Federal Trade commission:  Facts for Business