Canadian enforcement agency Competition Bureau Canada has launched an investigation into athletic apparel company lululemon following complaints of alleged misleading green claims by the company.

A Competition Bureau spokesperson confirmed the investigation “into the alleged deceptive marketing practices,” in an emailed statement to ESG Today, noting that “there is no conclusion of wrongdoing at this time.”

In a statement provided to ESG Today, a lululemon spokesperson said that company is aware of the review, adding that “we are confident that its review will confirm that the representations we make to the public are accurate and well-supported.”

The investigation follows a complaint filed by environmental sustainability-focused non-profit Stand.earth in February focused on claims made by the company regarding the green attributes of its products, operations, goals and supply chain, and “Be Planet,” the environmental pillar of lululemon’s sustainability strategy.

Lululemon launched Be Planet in 2020 as part of the company’s Impact Agenda, with a series of targets including having 100% of products include sustainable materials and end-of use solutions by 2030, offering options to customers to extend the life of its products by providing resell, repair, or recycle options by 2025, sourcing 100% renewable electricity to power operations by 2021, reducing carbon emissions intensity across the global supply chain by 60% by 2030, reducing freshwater use intensity by 50% to manufacture products and reducing single-use plastic packaging by 50% by 2025.

The Stand.earth complaint outlined a series of alleged “false or misleading public representations” made by lululemon in the context of its Be Planet program. Types of claims detailed in the complaint included “direct, unqualified environmental claims,” such as a statement on lululemon’s website that “our products and actions avoid environmental harm and contribute to restoring a healthy planet,”; “environmental claims that overemphasize minor environmental benefits,” such as the company’s statement that consumers taking part in lululemon’s Like New program to find gently used gear are “helping restore a healthy planet,”: “Environmental claims relating to the company’s greenhouse gas emission targets that are misleading,” noting that lululemon’s goal to reduce Scope 1 and 2 emissions doesn’t mention that these only account for less than 1% of its total greenhouse gas emissions, and that it’s Scope 3 goal is intensity-based rather than absolute,; and “Environmental claims about the company’s “vision”, “goals” or “commitments” that are unrealistic.”

The complaint also pointed out that lululemon’s Scope 3 emissions have doubled since the launch of the Be Planet program, and that many of the company’s products are made with fossil fuel-based materials including nylon and polyester.

Lululemon has recently announced a series of partnerships and milestones in its efforts to improve the sustainability of its materials, including the launch in April its first-ever product to be produced using enzymatically recycled polyester, and the production of its first product using enzymatically recycled nylon 6,6, both based on the copmany’s collaboration with environmental technology startup Samsara Eco.

In the company’s statement, the lululemon spokesperson said:

“Be Planet is a pillar of our impact agenda that outlines our vision, goals and targets which guide our actions and resource investments in helping to create a garment industry that is more sustainable and addresses the serious impacts of climate change. This work is far from complete.

“We have achieved 60% absolute reduction of greenhouse emissions in our owned and operated facilities but recognize most of the impact comes from emissions within the broader supply chain. That is why we have set externally validated (SBTi) 2030 climate targets, and a goal to be Net Zero by 2050, and are taking action.”