Juice maker Charlie's has been forced to remove a label from one of its bottles claiming it is recyclable after an investigation by the Commerce Commission.
It found Charlie's Honest Water Eco-Bottle was not recyclable and the claim was potentially misleading, as well as a possible breach of the Fair Trading Act.
The commission's findings followed a complaint by community recycling organisation Wanaka Wastebusters. Spokesperson Gina Dempster says Charlie's set a high standard that it failed to live up to.
Ms Dempster says the decision sets a precedent for other companies to be more careful and puts the responsibility back on them to make sure their labelling is completely accurate.
The commission found the eco-bottles end up in landfill in New Zealand, but can be recycled overseas.
Charlie's has also changed some of its advertising at the commission's request.