Australian Competition and Consumer Commission v Clorox Australia Pty Limited [2025] FCA 357 (April 14, 2025)

In Australian Competition and Consumer Commission v Clorox Australia Pty Limited, the Australian Competition and Consumer Commission (ACCC) alleged violations of provisions of the Australian Consumer Law when Clorox represented that kitchen tidy bags and garbage bags were made of 50% recycled plastic waste collected from the ocean or sea.

In fact, the GLAD kitchen tidy and garbage bags were made from plastic resin at least 50% of which was derived from recycled plastic that had been collected from communities with no formal waste management systems situated up to 50 kilometres from a shoreline; plastic resin not derived from recycled plastic; and processing aid and dye/ink.

Clorox admitted the alleged contraventions of Australian law, and the parties jointly sought declarations of contravention, an order that Clorox pay a pecuniary penalty of AUD$8.25 million in respect of the contraventions, as well as orders to: make a contribution of AUD$200,000 towards the ACCC’s costs; refrain from making similar representations in the future; implement a compliance program; and issue a corrective notice. The Court found this relief appropriate, and made the orders proposed by the parties.