Walmart and Kohl’s are paying a combined US $ 5.5 million in settlements as they falsely marketed dozens of sheets and other home textile products as made of environment-friendly bamboo, when they were actually rayon.
The Federal Trade Commission (FTC) said that Kohl’s agreed to pay US $2.5 million and Walmart will pay US $3 million in the settlements, which stemmed from an FTC complaint that also included allegations of deceptive environmental claims.
The companies touted the ‘bamboo’ textiles as being made in an eco-friendly way.
Both retailers have been prohibited from making deceptive green claims or using other misleading advertisements.
As per the Commission, both retailers have marketed some of the ‘bamboo-derived’ products as providing general environment benefits, such as being produced “free of harmful chemicals, using clean, non-toxic materials.”
Rayon is a synthetic fibre that is made with plant cellulose, including bamboo, but the FTC noted the process “requires the use of toxic chemicals and results in hazardous pollutants.”
Samuel Levine, Director of the FTC’s Bureau of Consumer Protection said in a statement that false environmental claims harm both consumers and honest businesses, and companies that greenwash can expect to pay a price.
Randy Hargrove, a Walmart spokesman, said, “We hold ourselves accountable when issues like this are raised. We have worked to strengthen our product description programmes and expect our suppliers to provide products that comply with all laws, including those around labeling.”
Kohl’s also continues to take the labeling regulations seriously.
The FTC said that Kohl’s, based in Menomonee Falls, Wisconsin and Walmart, have each marketed at least two dozen items as made of bamboo in both product titles and descriptions for several years.
