Green Labeling? Proceed with Caution, 1993 Recycling Symposium Proceedings

Terry B. Bass

Green labeling is the marketing phenomenon in which manufacturers, retailers and advertisers tout products as being “recycled,” nontoxic to the environment,” or “biodegradable.” Such claims have, undoubtedly, influenced many an environmentally-concerned buyer to make a purchase based upon the advertiser’s promise that the product is

“environmentally friendly.” However, the abundance of such claims and the subsequent revelation that many of these advertiser’s promises are misleading or fraudulent have also resulted in consumer confusion and mistrust as well as expensive litigation. One reason consumers are confused and advertisers can so easily misrepresent the environmental impact of a product is that there are no uniform definitions for such terms as “recycled,” recyclable,” and “biodegradable,” nor are there uniform standards for making such a marketing claim. Additionally, it is extremely difficult to scientifically assess the accuracy of this type of environmental claim. Over the past few years, however, industry and federal and state regulators have proposed methods designed to provide consumers with an element of confidence in environmental claims and marketers with a standard for making such claims that will reduce the risk of costly “false advertising” claims. This paper discusses these current and proposed methods. Although the steps outlined in

this paper have been taken, there still remains uncertainty and ambiguity about labeling standards and requirements; therefore, companies who wish to participate in green labeling should

proceed with caution.