Greenwashing and ESG: when sustainable discourse collides with illegality. Is your brand really committed to sustainability — or just taking advantage of it?

In recent years, sustainability has gone from being just a differentiator to occupying a prominent position in consumer choices. In the fashion sector, in particular, the appeal to ethical production and environmental responsibility has become a constant in advertising campaigns and institutional speeches. Terms such as “eco-friendly”, “conscious” and “responsible” have been gaining space on labels and in brand communication — a reflection of a more attentive and demanding consumer.

However, this trend has also opened space for misleading behavior. Greenwashing is a practice that consists of promoting an image of sustainability that is not supported by the reality of the company's production or administrative processes. It is an environmentally positive discourse that, although attractive, does not translate into effective actions.

This strategy can manifest itself in several ways: campaigns with vague language and no technical basis, the use of symbols and colors that refer to nature, generic promises of less environmental impact or even the dissemination of isolated actions as if they were a reflection of a structured sustainability policy.

In practice, many of these initiatives lack proof, suitable certifications or any significant change in production and management methods. In addition to the ethical issue, greenwashing can have serious legal consequences. When a company misleads consumers about the environmental characteristics of its products or services, it is committing misleading advertising, under articles 37 and 367 of the Consumer Protection Code.

Penalties may include imprisonment, fines, obligation to publicly retract, compensation and even civil lawsuits for collective moral damages. Another relevant point concerns unfair competition. By improperly disclosing a commitment to sustainable practices, the company gains an unfair advantage over competitors who actually invest in environmentally responsible solutions, which can give rise to legal disputes within the business environment.

Furthermore, in the current context, the adoption of ESG (Environmental, Social and Governance) criteria has become a standard required by investors, funds and financial institutions. ESG represents a set of practices focused on environmental preservation, social responsibility and corporate governance, serving as an indicator of solidity, transparency and long-term commitment.

When a brand communicates its sustainable practices in a distorted way, it compromises not only its relationship with consumers, but also its image in the eyes of the financial market and potential business partners. In this sense, greenwashing can directly impact risk assessments, access to credit, and share price appreciation, especially in the case of publicly traded companies.

In this scenario, legal advice specializing in fashion plays an essential role in guiding brands in building responsible and legally secure communication. The work of professionals in this area involves, for example, analyzing the compliance of advertising campaigns, reviewing corporate practices in light of environmental and consumer legislation, and structuring internal policies that are in line with ESG principles.

Talking about greenwashing is, therefore, an invitation to reflect on the role of companies in building a more transparent and conscious market. Sustainability cannot be just a nice speech: it needs to be accompanied by concrete actions, legal responsibility and institutional coherence. It is precisely at this intersection between purpose and legality that the law proves to be a true ally of responsible fashion.

If your brand wants to adhere to ESG and sustainable standards without running the risk of committing greenwashing, the ideal is to seek legal advice that specializes in fashion to provide the appropriate guidance and help you with the strategy for implementing these standards in your company.