[Editor's Note: This article appeared in a slightly longer form in Environment Law360, and is available for download as a PDF here.]

Although everyone has his or her own favorite color of the rainbow, it's indisputable that, in the business world at least, green has certainly claimed the top spot, and there are no pots of gold or leprechauns involved. Rather, it seems that all businesses must move toward making their products greener just to stay competitive in the marketplace.

The good news is that this green wave is leading to the production of new products made from natural materials, products with fewer chemical emissions, and products that conserve natural resources. In fact, the number of green products on the market has increased steadily in recent years, leading 43 percent of companies to increase spending on green marketing in 2009, according to a study [PDF] from SustainCommWorld.

How a company makes the leap into green though can either lead to great success and an increased presence in this environmentally conscious marketplace, or it can lead to additional problems and more liability. Thus, it is essential to understand what it means to green your product and consider the risks of going green up front in order to avoid ending up in the courtroom down the road.

The Five Kinds of Green Products

There are almost as many definitions of green products out there as there are colors in the rainbow. There is no single standard for determining whether a product qualifies as green. Rather, the analysis focuses on the materials used to produce a product and where those materials originated, with special consideration given to the manufacturing, use, and disposal of the product. Additionally, products may be considered green based on multiple characteristics or overall environmental performance.

There are roughly five main categories of green products:

1. Made with salvaged, recycled, or agricultural waste content;
2. Conserve natural resources -- these products do not need to be distinctively green on their own as long as they reduce the materials needed for a project;
3. Avoid certain chemical emissions. These products are not always "good" for the environment, but they are superior to like products on the market (e.g. a sealant with less volatile organic compounds (VOCs) than its competitors).
4. Contribute to a safe, healthy building environment, such as reducing or blocking the spread of indoor air pollutants;
5. Save energy or water

Although products can be considered green for more than one reason, once you define your product as green, the challenge becomes determining the best way to communicate this fact to the marketplace in a way that accurately represents its characteristics and potential benefits, and for that, green labels and certifications are an important consideration.