The National Advertising Division (“NAD”) resolved a beef between makers of competing meat stick products, Link Snacks Inc. and We Are The Chompions, LLC (“Chomps”). Link Snacks challenged Chomps’ non-specific carbon neutral and net-positive environmental impact claims (“environmental claims”) and its geographic sourcing claims (“sourcing claims”).

In response to the initiation of the challenge, Chomps voluntarily discontinued its carbon neutrality and net positive impact claims, as well as the claim that its products are made using natural regenerative agricultural methods. These kinds of claims constitute general, non-specific environmental benefit claims that are, for the most part, prohibited by the FTC Green Guides, which provide guidance on green marketing claims. The FTC’s prohibition is based on the idea consumers will take away a far more extensive and broad – and unsubstantiated – view of an unqualified, general eco-friendly claim. Claims as to carbon emissions also require competent and reliable accounting methods to substantiate such claims, which can be very challenging to produce. Chomps’s decision to voluntarily drop these claims was probably a smart strategic move, as many of them would have been difficult – if not impossible – to substantiate.

As to the sourcing claims, Links argued that Chomps overstates the extent to which its products are made of meat from Australia and New Zealand. In response, Chomps submitted evidence that nearly 90% of Chomps’ beef is sourced from farms in Australia and showed business records of the beef packages marked as originating from Australia before arriving at domestic facilities. Chomps also submitted evidence showing that 100% of its venison packages were sourced from New Zealand and records of venison packages originating from New Zealand.

Based on Chomps’s evidence, the NAD concluded that Chomps’ claims were substantiated, including the claims that “[Chomps’ founders] have spent time in Australia, where most of our beef is sourced, and have seen the practices” and “Our 100% grass fed and finished venison is sourced from the scenic farms of Silver Fern in New Zealand.”

This decision is great reminder that advertisers should always be ready to substantiate all of their claims and must be extra cautious around green and environmental benefit claims.

If you have any questions or concerns about advertising challenges at the NAD, or any advertising claims, please feel free to contact us Kilpatrick’s Advertising and Marketing team.