---
title: "US FTC announces $1.26M settlement with retailers for falsely labeling textiles as \"bamboo\""
description: "US FTC announces $1.26M settlement with retailers for falsely labeling textiles as \"bamboo\""
---

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# US FTC announces $1.26M settlement with retailers for falsely labeling textiles as "bamboo"

---

##### 04 January 2013

The United States (US) Federal Trade Commission (FTC) has announced that four retailers have agreed to pay penalties totaling $1.26 million to settle charges that they violated the Textile Products Identification Act and the Textile Rules by labeling and advertising products sold in stores and online as made of bamboo, while they actually were made of rayon. Per the FTC, "so-called bamboo textiles often are promoted as environmentally friendly, the process for manufacturing rayon – even when it is made from bamboo – is far from a 'green' one."

In January 2010, the FTC sent warning letters to 78 companies, including the four retailers taking part in this settlement, concerning their mislabeling of rayon textiles as bamboo.

The FTC alleges that the four parties to this settlement continued improperly to label their rayon textiles as bamboo, even after being told in the warning letters that they could face civil penalties if they did not properly label and advertise their textile products.

The penalties announced reflect the length of time each company continued to sell mislabeled textiles after receiving an FTC warning letter in early 2010, as well as the amount of products sold.

Each company also will be required to ensure that the labels and ads for bamboo textiles they sell accurately indicate their fiber content.

For more on this settlement or on the FTC's Textile Products Identification Act or Textile Rules, [contact C&R!](http://www.complianceandrisks.com/contact/)

### Written by [staceybowers](https://go.adherent.com/commentary-analysis-old/author/staceybowers)

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