Environment and Climate Change Canada | Estee Lauder Cosmetics Ltd. has been fined $750,000 after pleading guilty to two counts of violating the Canadian Environmental Protection Act, 1999 (the Act).
These two offences were related to the failure to inform the government regarding a significant new activity and the failure to comply with a compliance order. In addition to the fine, the company was ordered by the Court to notify its shareholders about this conviction. The fine will be directed to the Government of Canada’s Environmental Damages Fund.
In May 2023, as part of a routine inspection, Environment and Climate Change Canada enforcement officers discovered the company was selling some eyeliner products that had Perfluorononyl Dimethicone listed as an ingredient. Perfluorononyl Dimethicone is a per- and polyfluoroalkyl substance (PFAS), sometimes referred to as “forever chemicals”.
The importation, sale, and distribution of cosmetic products that have Perfluorononyl Dimethicone as an ingredient are considered a “significant new activity” under the Act. This means the company was required to notify the government before the activity occurred. This important requirement allows the government to assess potential health or environmental risks in advance. In this case, by not respecting the requirement to notify, the company violated subsection 81(4) of the Act.
On 8 June 2023, officers issued an environmental protection compliance order to the company regarding the “significant new activity”. The order outlined steps the company was to take to become compliant with the “significant new activity” requirements of the Act. Ultimately, the company did not comply with the order, resulting in a violation of subsection 238(1) of the Act.
As a result of this conviction, the company’s name will be added to the Environmental Offenders Registry. The Registry contains information on convictions of corporations registered for offences committed under certain federal environmental laws.
