Garbage bag giant Clorox Australian fined $8m over | Australian Markets
The company behind GLAD rubbish luggage has been fined more than $8 million for falsely promoting its merchandise had been made of recycled ocean plastic.
Last April, the competitors watchdog instituted proceedings within the Federal Court towards Clorox Australia over false claims its GLAD Kitchen Tidy Bags and Garbage Bags had been made up of 50 per cent recycled “ocean plastic” collected from an ocean or sea, when that was not the case.
These GLAD luggage had been as an alternative partly constituted of plastic collected from communities in Indonesia — up to 50km from a shoreline — and never from the ocean or sea.
The Federal Court on Monday ordered Clorox to pay a complete penalty of $8.25m for the false claims made between June 2021 and July 2023 on more than 2.2 million merchandise.
Clorox discontinued the merchandise in July 2023, after it grew to become conscious the Australian Competition and Consumer Commission had began investigating, however earlier than it commenced these proceedings.
ACCC chair Gina Cass-Gottlieb stated claims about environmental advantages mattered to many customers and should impression their buying behaviour.
“When those claims are false or misleading, this is a serious breach of trust, as well as the Australian consumer law,” she stated.
“This is also a significant matter because consumers have limited or no ability to independently verify the accuracy of the claims made on packaging and it also disadvantages competitors who are accurately communicating their environmental credentials.”
Clorox was ordered to set up an Australian client law compliance program, publish a corrective discover on its web site, and pay half of the ACCC’s legal prices, amongst different orders.
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