Estée Lauder Companies (ELC) has been fined CAD$750,000 ($548,000) for violating an environmental law in Canada.
The Ontario Court of Justice handed down the penalty ruling on 13 January 2026 after the beauty company pleaded guilty to two counts of violating the Canadian Environmental Protection Act, 1999.
The offences relate to ELC’s failure to inform the government of “significant new activity”, as well as failing to comply with a government compliance order.
ELC was found to be selling some eyeliner products containing Perfluorononyl Dimethicone, by Environment and Climate Change Canada, the Canadian government’s federal department responsible for environmental protection, in May 2023.
Under the country’s law, the import, sale and distribution of cosmetics products containing the chemical are considered a “significant new activity”.
Rules require that the government must be notified prior to this activity so it can assess potential health and environmental risks in advance.
The department outlined steps for ELC to become compliant in an order issued in June 2023.
The company failed to comply with the order, marking a second violation of the law.
Cosmetics Business has contacted ELC for a comment.
In addition to the fine, ELC must notify shareholders of the ruling and the company’s name will be added to Canada’s Environmental Offenders Registry.
Perfluorononyl Dimethicone is a perfluoroalkyl and polyfluoroalkyl substance (PFAS), a class also known as ‘forever chemicals’.
The man-made substances do not break down, but persist in the environment, accumulating over time.
There are around 12,000 known PFAS used across consumer and industrial products, from cookware and carpets, to packaging and waterproof cosmetics.
Certain PFAS are intentionally added as ingredients in some cosmetic products, including lipsticks, eyeshadows, moisturisers, rouges, nail polish and enamel, blushers and cleansers.
These are used to condition and smooth the skin and hair, to create a shiny appearance, or to affect product consistency and texture.
Some PFAS may also be present in cosmetics unintentionally as the result of raw material impurities, or due to the breakdown of intentionally added PFAS ingredients that form other types of PFAS.
Studies suggest associations between exposure to certain PFAS substances and increased risks of kidney cancer, testicular cancer, hypertension, thyroid disease, low birth weight and immunotoxicity in children.