• The New York Times, Wednesday, January 30, 2008 11:45 AM

From the U.S. to Norway to Belgium, watchdog groups are trying to police against the rise in bogus environmental marketing, a practice known as greenwashing. In most cases, these groups are set up by the ad industry and run by a third party, and they operate on the honor system.

Marketers agree to abide by the watchdogs' rulings, which often means dropping ads that are deemed deceptive. Marketers who fail to do so run the risk of bad publicity or possibly litigation. Only in a few countries, such as Norway, can regulators impose fines. In the U.S., the Federal Trade Commission, which oversees ad claims, began hearings this month to determine the kinds of claims that can genuinely qualify as green marketing.

Despite the regulatory backlash, companies are often loath to use subtle language to advertise their environmental claims for fear the ads won't stand out, says Mike Longhurst, a London-based executive with McCann-Erickson. "Clients prefer to say it's good for the environment, rather than it's not so bad," he says.

Read the whole story at The New York Times »