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Advertising Law Updates

| 1 minute read

Arizona AG Settles Greenwashing Case Over Hefty “Recycling” Bags

Last month, Arizona Attorney General Kris Mayes settled a consumer‑fraud lawsuit against Reynolds Consumer Products, over allegations that the company misled consumers about the recyclability of certain Hefty brand trash bags.

The lawsuit, filed in August 2025, challenged the marketing of Hefty “Recycling,” “Blue,” and “Clear” bags. The Arizona AG alleged that Reynolds’ packaging conveyed that the bags were recyclable or appropriate for curbside recycling, even though soft plastic bags are not accepted by Arizona recycling facilities and therefore can render otherwise recyclable materials unrecyclable.

According to the complaint, the packaging prominently featured the word “RECYCLING,” images of bags filled with bottles and paper, and recycling‑related symbols and language (such as “perfect for all your recycling needs”). The complaint alleged that, taken together, these elements communicated a misleading impression about how the bags could be used.

The complaint also alleged that placing recyclables inside the bags could cause entire loads to be diverted to landfills or interfere with recycling facility operations—undermining consumers’ environmental goals.

Under the settlement, Reynolds agreed to redesign the packaging for its transparent blue and clear bags nationwide. The updated packaging must remove images suggesting the bags can be used for recycling and must clearly state on the front of the box: “These Bags Are Not Recyclable.” The settlement also restricts Reynolds from marketing bags as “recycling” bags in Arizona unless a substantial majority of municipal recycling facilities in the state actually accept them.

In addition to the packaging changes, Reynolds will pay $212,000 in total, including $30,000 in consumer restitution, $157,000 to the state, and $25,000 in costs and attorneys’ fees. 

The settlement is the latest example of heightened scrutiny of environmental marketing claims—particularly where sustainability messages are conveyed through imagery, product naming, and overall context.

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advertising law updates, environmentalmarketing, recycling, advertisinglaw, greenwashing