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Walmart Sued by The Federal Trade Commission (FTC)

Walmart Sued by The Federal Trade Commission (FTC)

The FTC is suing Walmart over accusations that the retailer falsely claimed some of its products were made of bamboo that provided an environmental benefit.

The FTC alleged that Walmart’s marketing and sales of its textile fiber products, including towels, bedding, and bras, deceptively described their material as “bamboo,” when in fact they were made of rayon.

Rayon is the name given to a type of regenerated or manufactured fiber made from cellulose so it differs from Bamboo completely which is an environment friendly product.

The manufacturing process of rayon involves the use of hazardous chemicals, and the resulting fiber is rayon and not cotton, wood, or bamboo fiber,” the suit said.

Ottomanson bamboo luxury bath towel set,” which lists the fiber content as “100% Bamboo was one such products .

The retailer has also advertised products it claims are made from bamboo as “eco-friendly,” and “in harmony with nature,” whereas the FTC claims they are not because hazardous air pollutants are emitted from the rayon-making process.

The retailer was warned by the FTC in the past over its improper labeling but the retailer hardly took any action, the lawsuit alleged.

In 2010, the FTC sent a letter explaining that the term “bamboo” could only be used in labeling or advertising textile products made from fibers directly taken from the bamboo plant.

It also told Walmart that rayon must be described in the labeling of its products, per the lawsuit.

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