Corrective order issued for false and exaggerated labeling practices
The Korea Fair Trade Commission (Chairman Han Ki-Jeong, hereinafter referred to as the "KFTC") has decided to impose a corrective order on Ace Bed Co., Ltd. (hereinafter "Ace Bed") for engaging in false and exaggerated labeling practices by marking its mattress disinfectant and insect repellent packaging with claims that it was manufactured using "ingredients harmless to humans."
Ace Bed is a specialized bed manufacturer that produces and sells mattresses and built-in beds. It is one of the top two companies in the domestic bed market, with a market share of approximately 15.2% as of 2023.
Ace Bed launched and sold "Micro Guard," a product attached to the side of its mattresses aimed at preventing the growth of bacteria, mold, and dust mites. From around November 2016 to June 2018, it labeled the product packaging with claims that it was manufactured using "ingredients harmless to humans." (See Reference 2: Ace Bed’s Labeling Content)
Micro Guard consists of a round plastic container and a nonwoven fabric packaging containing a white, round compressed tablet. The device works by gradually releasing insect-repelling substance DEET (Diethyltoluamide) and antibacterial substance Chloroxylenol in gas form over approximately one year, exerting effects inside the mattress.
However, according to the U.S. Environmental Protection Agency’s (EPA) Re-registration Eligibility Decision (R.E.D. Facts) and the Material Safety Data Sheet (MSDS) provided by the Korea Occupational Safety and Health Agency, the main components DEET and Chloroxylenol are evaluated as having a certain level of toxicity and health hazards depending on the route of exposure (eyes, skin, oral ingestion).
Consumers who encountered this labeling found it difficult to verify the claim of harmlessness themselves and could not easily identify the chemical components contained in the product, making them reliant on the manufacturer's explanation.
The Micro Guard packaging highlighted in red that the product was made with ingredients “approved by the U.S. EPA” and included a statement saying, “Safe for humans, use with confidence (tested by a government-certified institution),” creating a misleading impression that the product’s main ingredients were indeed harmless.
Given that the product is used continuously during sleep and requires replacement every year — making its purchase and use subject to consumer choice — falsely labeling the product as harmless could interfere with consumers’ rational decision-making and disrupt fair trade practices. The KFTC thus judged this labeling to constitute false and exaggerated advertising.
The significance of this measure lies in the KFTC detecting and sanctioning the false and exaggerated labeling of major chemical components' safety at a time when consumer interest in the safety of chemical products is increasing.
Going forward, the KFTC plans to continue monitoring deceptive labeling and advertising practices to ensure that information about chemical ingredients and potential hazards in products is provided accurately, and will impose strict sanctions when violations are found, in order to protect consumers' rights to information and choice, particularly for products directly related to human health.