Amazon, Others Settle Bamboo Product False Ad Suit With US

Law360, New York (January 3, 2013, 2:36 PM EST) -- The U.S. on Thursday settled a series of lawsuits in Washington federal court accusing major retailers, including Kmart Corp. and Amazon.com Inc., of falsely advertising rayon products manufactured with hazardous chemicals as natural, environmentally friendly bamboo.

The settlements resolve complaints filed by the government Thursday accusing the companies — which in addition to Kmart and Amazon include Macy’s Inc., Kmart parent Sears, Roebuck and Co. and Leon Max Inc. — of violating the Federal Trade Commission Act and Textile Act by misleadingly touting that manufactured rayon...
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