Clorox Australia fined $8.25 million for misleading recycled plastic claims

Clorox Australia has been fined $8.25 million by the Federal Court for misleading claims regarding its GLAD kitchen and garbage bags, which were falsely marketed as containing 50% recycled ocean plastic. The Australian Competition and Consumer Commission (ACCC) found that from June 2021 to July 2023, Clorox misrepresented these products, which were made from plastic waste sourced from communities in Indonesia lacking formal waste management systems, not from ocean plastic as claimed. Over 2.2 million units were sold under this misleading packaging, which included imagery implying environmental benefits. ACCC Chair Gina Cass-Gottlieb emphasized the importance of truthful environmental claims, noting that consumers often cannot verify such assertions independently. As part of the ruling, Clorox is required to implement a compliance program and issue a corrective notice. The company ceased production of the misleading products after the ACCC began its investigation.