What Legal Ops Needs to Know About the EU Greenwashing Directives

The European Union is rolling out two key legislative tools to protect consumers from misleading environmental and social claims. The intent of these EU greenwashing directives is to reduce the false presentation of products as environmentally friendly and establish stricter regulations on environmental and social claims, as K&L Gates writes in a recent article.

Legal ops can help comply with the EU greenwashing directives by playing a role regarding verification, social responsibility, and certification within their companies.

Both tools are part of the European Green Deal. The first initiative, the Greenwashing Directive, has already been adopted. EU member states have until March 2026 to incorporate the directive into national law. It centers on establishing a common methodology for making green claims and making information on those claims available to consumers.

The second initiative, The Green Claims Directive, is still undergoing legislative processes, with implementation anticipated around 2027. It bans “generic environmental claims” and introduces strict requirements on product labeling and communications to consumers.

These two directives will fundamentally change how products are marketed with reference to environmental and social claims in the EU.

Under the new rules, companies must provide specific, verifiable evidence for any environmental claims. Generic claims like “eco-friendly” or “carbon-neutral” will be banned unless substantiated.

As K&L writes, this ban extends to social responsibility claims as well. Proof will be required for statements about topics like gender equality, inclusion, diversity, social protection, and fair working conditions. Additionally, companies will be required to transition to official certification for product labeling.

To prepare, companies should audit their current green claims, seek accredited third-party verification, and align their internal processes to ensure compliance with the new regulations. Here, legal ops can help comply with the EU greenwashing directives by adhering to the following practices:

• Auditing the company’s usage of green claims
• Determining where green claims require additional substantiation
• Reviewing verification schemes at national and EU levels
• Documenting internal processes for the use of green claims
• Delivering training for internal teams

Noncompliance with these EU greenwashing directives could result in severe penalties, including fines of up to 4% of a company’s turnover, confiscation of revenues, and temporary exclusion from public procurement processes.