ARTICLE
16 October 2024

Greenwashing In Cosmetics: The Evolution Of The Cosmetics Industry And The Likely Impact Of Approaching EU Regulations

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Potter Clarkson

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Potter Clarkson is one of Europe’s leading full-service IP law firms. Our IP attorneys and solicitors maximise the value of our clients' innovation by providing the experience, vision and clarity required to create, protect, leverage and defend their ideas in the most commercial and strategic ways all over the world.
Greenwashing is where companies misrepresent their environmental claims to appeal to eco-conscious consumers. Greenwashing not only misleads consumers but can also lead to legal repercussions under
United Kingdom Environment

In recent years, greenwashing in cosmetics has come under increased legal scrutiny.

Greenwashing is where companies misrepresent their environmental claims to appeal to eco-conscious consumers. Greenwashing not only misleads consumers but can also lead to legal repercussions under advertising and consumer protection laws. In response, regulatory frameworks in the EU and other regions are tightening, requiring companies to substantiate their environmental claims.

These legal challenges often focus on whether the claims are truthful and non-deceptive, aiming to protect consumer trust and ensure that brands uphold genuine sustainability practices.

CASES WHERE BEAUTY COMPANIES WERE ACCUSED OF GREENWASHING

Here are some recent examples of greenwashing in cosmetics:

Bondi Sands' sunscreen lawsuit

Advertising its sunscreens as "reef friendly", the beauty brand's products were indeed free from oxybenzone andoctinoxatebut were found to include other harmful ingredients that could potentially endanger marine life, including avobenzone and more.

Head & Shoulders' recyclability claims

Marketing their Ocean Clean Bottle as recyclable, the Changing Markets Foundation (CMF)inspected Head & Shoulders' website and found that while all their bottles can be recycled, they are still working on making their caps recyclable.

Given that some parts of the packaging are not recyclable, it was deemed that their claim to be "recyclable" could mislead shoppers.

Lilly Lashes sued over 'cruelty-free' mink

Lilly Lashes is a cosmetic brand sold by Sephora, Ultra Beauty, and Amazon. They were faced with a lawsuit for allegedly false advertising.

The brand marketed its mink lashes as "cruelty-free," a claim they have since been forced to remove from their packaging. According to the lawsuit,which wassupported by an article from The People for the Ethical Treatment of Animals (PETA), the mink fur used to make the eyelashes comes from animals "kept in cramped wire cages that are frequently covered in waste."

HOW COULD THE APPROACHING EU "GREEN CLAIMS DIRECTIVE" IMPACT GREENWASHING IN THE COSMETICS INDUSTRY?

In March 2023, the European Commission introduced a proposal for the Green Claims Directive, aiming to set clear standards for how companies can substantiate, communicate, and verify environmental claims. A key aspect of the proposal is the requirement for independent third-party verification of certain claims.

Key highlights of the Council's approach include:

  • Scientific substantiation: Companies must use credible scientific evidence to support their claims regarding the environmental impact, performance, and carbon contributions of their products.
  • Third-party verification: The directive mandates that environmental claims must be verified by independent experts before they are published. However, a simplified procedure allows certain fewer complex claims to be exempt from this requirement, provided companies can demonstrate compliance through technical documentation.
  • Carbon claims: Companies making carbon offset claims must disclose detailed information about the type and quantity of carbon credits held, including whether these credits are permanent or temporary. They must also show progress toward net-zero targets and detail the percentage of total greenhouse gas emissions offset.

THE DEVELOPMENT OF GREENWASHING IN COSMETICS

The emergence of greenwashing in the cosmetics industry reflects a growing concern among consumers regarding environmental impacts and corporate responsibility.

As brands increasingly market themselves as eco-friendly, many have faced scrutiny formakingmisleading claims that do not align with actual practices. This trend has prompted legal action and regulatory developments aimed at protecting consumers and fostering genuine sustainability.

As the industry grapples with the implications of potential new EU regulations, brands will need to prioritise authentic sustainability efforts to avoidpotentiallegal repercussions and regain consumer trust.

If you are involved in producing a product that markets itself as environmentally friendly andyou'dlike to minimise the risk of facing claims of greenwashing,please contact the branding specialistsin our dedicated FMCG teamtoday.

If you would like to find out more about this topic, these references may be of interest:

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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