Green expo greenwashing presentation

GreenWASHING
Risks and Risk Management
Presented by:
David M. Scott, LEED®AP

We’re greener than green!

TerraChoice researchers surveyed more than 18,000 advertisements. The ones that made environmental claims were counted and described as a percentage of the total number of advertisements.
Source: Environmental Claims in Consumer Markets, TerraChoice Environmental Marketing, 2009
“Green” Advertisements on the Rise

Green·wash (grēn'wŏsh', -wôsh') – verb: the act of misleading consumers regarding the environmental practices of a company or the environmental benefits of a product or service
Source: Scot Case, TerraChoice Environmental Marketing

“The Seven Sins of Greenwashing”
1. Sin of the Hidden Trade-Off
2. Sin of No Proof
3. Sin of Vagueness
4. Sin of Irrelevance
5. Sin of Fibbing
6. Sin of Lesser of Two Evils
7. Sin of Worshipping False Labels

1. The Sin of the Hidden Trade Off
Definition: Claiming a product is “green” based on one attribute

2. Sin of No Proof
Definition: Claim that cannot be substantiated by readily accessible information or a reliable third party certification.

3. Sin of Vagueness
Definition: Claim that is poorly defined or so broad that it is often misunderstood by the consumer.

4. Sin of Irrelevance
Definition: Claim that may be truthful but is
unimportant or unhelpful for consumers seeking
environmentally preferable products.

5. Sin of Fibbing
Definition: Claims are false.

6. Sin of Lesser of Two Evils
Definition: Claim that may be true but distracts
consumer from greater environmental impacts of
category as a whole.

7. Sin of Worshipping False Labels
Definition: Claim that gives the impression of a third party endorsement where no such label exists
Examples:
- Image that looks like an official seal of approval

Sins of the Seven Sins?

Greenwashing Litigation
Koh v. SC Johnson & Son, Inc.,
Case No. 09-00927 (N.D. Cal. 2009)

Greenwashing Litigation
Paduano v. American Honda Motor Co., Inc.,169 Cal. App.4th 1453 (Cal. App. 4th Dist. 2009)
Mendez v. Intel, Case No. CV-09-2889 (N.D. Cal. 2009)

The Federal Trade Commission
The FTC enforces Section 5 of the FTC Act, which generally prohibits "unfair or deceptive acts or practices," including advertising that is false or misleading. .”

Crime and Punishment

3rd Party Verifications for Products

We’re greener than green!

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Green expo greenwashing presentation

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