Antitrust Law Daily Wrap Up, ADVERTISING NEWS: Wet Wipe maker, FTC settle “flushability” misrepresentation claims, (May 18, 2015)

By Greg Hammond, J.D.

Nice-Pak Products, Inc., a manufacturer of wet wipes, settled charges that it violated the FTC Act by falsely advertising that its wipes are flushable or safe for sewer and septic tanks. The company has agreed to cease advertising that its wipes are flushable unless the representation is non-misleading and is supported by competent and reliable evidence (In the Matter of Nice-Pak Products, Inc., File No. 132 3272).

The Commission charged that Nice-Pak advertised its wet wipes were flushable and safe for sewer and septic systems. However, the flushability claims were not substantiated at the time they were made, the FTC alleged. Further, the complaint asserts that Nice-Pak provided trade customers—including Costco, CVS, Target, and BJ’s Wholesale Club—with advertising, packaging, and materials that contain the unsubstantiated representations, giving its trade customers the means and instrumentalities to deceive consumers. These acts and practices, according to the Commission, violated Section 5 of the FTC Act.

“The evidence didn’t back up Nice-Pak’s claims that their wipes were safe to flush,” stated FTC Bureau of Consumer Protection, Jessica Rich. “If you claim a product is flushable, it needs to flush in the real world, without clogging household plumbing or sewer and septic systems.”

Nice-Pak has agreed to cease representing that its products are flushable; are safe for sewer or septic systems; will not clog household plumbing and septic systems; break apart shortly after flushing; or dissolve or disperse when interacting with water, unless the representation is non-misleading and Nice-Pak has competent and reliable evidence that the representation is true at the time it is made.

Attorneys: Trenton Norris (Arnold & Porter) for Nice-Pak Products, Inc. Sylvia Kundig, FTC.

Companies: Nice-Pak Products, Inc.

News: Advertising ConsumerProtection FederalTradeCommissionNews