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PracticalESG

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Keeping you in-the-know on environmental, social and governance developments

Italian regulators handed down two enforcement actions related to sustainability at companies in – what else?… the fashion and clothing industry.

France24 reported that Italy’s competition regulator

“fined the company responsible for Shein’s websites in Europe one million euros ($1.15 million) for false and confusing claims about the e-commerce giant’s efforts to be environmentally ‘green’.

The fine was imposed on Infinite Styles Services Co. Ltd, the company responsible for managing Shein’s product trading websites in Europe, the authority said in a statement.

The AGCM accused it of ‘misleading and/or deceptive environmental messages and claims… in the promotion and sale of Shein-branded clothing products’.

These were ‘in some instances, vague, generic, and/or overly emphatic, and in others, misleading or omissive’.

In particular, claims about the recyclability of products ‘were found to be either false or at least confusing’, it said.”

In another action reported by Reuters,

“Italy’s antitrust regulator has fined fashion group Giorgio Armani and one of its units 3.5 million euros ($4 million) for alleged unfair commercial practices, it said on Friday.

The regulator said in a statement that the two companies ‘issued misleading ethical and social responsibility statements in contrast with the actual working conditions found at suppliers and subcontractors’.”

At least in Italy, it is fashionable to enforce corporate sustainability practices and claims.

Members can read more about sustainability enforcement trends here.


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The Editor

Lawrence Heim has been practicing in the field of ESG management for 40 years. He began his career as a legal assistant in the Environmental Practice of Vinson & Elkins working for a partner who is nationally recognized and an adjunct professor of environmental law at the University of Texas Law School. He moved into technical environmental consulting with ENSR Consulting & Engineering at the height of environmental regulatory development, working across a range of disciplines. He was one of… View Profile