Seafood restaurants warned over false claims about locally caught dishes

A Federal Trade Commission official said today that the nation’s major seafood restaurant chains have been warned that the agency will crack down on false claims about locally caught products, following complaints from the national fishing industry over misleading menus and advertising.

The United States imports about 80 percent of its seafood, according to the National Oceanic and Atmospheric Administration. But restaurants can attract diners by marketing ultra-fresh seafood caught in nearby waters.

Alvaro Bedoya, an FTC commissioner, sent letters Tuesday to the 10 most profitable seafood restaurants, including Red Lobster, Long John Silver’s and Legal Sea Foods, warning them that false advertising about locally caught dishes could cause under investigation, he told Reuters.

“This is another reminder to businesses that the net impression of this communication must be accurate in every way you communicate with a consumer,” Bedoya said.

In September, the FTC issued guidance clarifying that restaurant decor, menu descriptions and social media posts suggesting local dishes could be considered illegally misleading customers if the restaurant does not serve domestic seafood .

Bedoya visited Gulf Coast shrimpers this summer who have seen their industry decline in part because of competition from imports, he said.

More than 90 percent of shrimp imports come from India, Ecuador, Indonesia and Vietnam, according to the Southern Shrimp Alliance, which represents small and medium-sized shrimp companies.

The group has advocated for stricter FTC enforcement because its members struggle to compete with cheaper imports, it said in September when the FTC guidelines were released.