Brilliant Earth has taken down an ad that purportedly claimed the company was offering “free diamond earrings” for “one day only” after competing e-tailer Blue Nile complained about it to the BBB National Programs’ National Advertising Division (NAD).

According to the full NAD ruling—which is not public but was given to JCK—Blue Nile argued that its rival’s claims “were misleading because the promotion failed to disclose that for purchases between $1,000 and $5,000, the free ‘diamond’ earrings were lab-grown and not natural diamonds. [Blue Nile] further contended that the hyperlinked disclosure as to the nature of the ‘diamond’ gift was inadequate.”

Blue Nile also argued that “the ‘One Day Only!’ and similar time-limited claims were misleading because [Brilliant Earth] had run the offer numerous times in the months preceding the challenge.”

The NAD never ruled on the issue, since Brilliant Earth said it had permanently discontinued the offer and removed the claims.

“The voluntarily discontinued claims will be treated, for compliance purposes, as though NAD recommended their discontinuance and [Brilliant Earth] agreed to comply,” the ruling said.

Under the Federal Trade Commission’s Guides for the Jewelry Industry, companies must “clearly and conspicuously” disclose that diamonds are lab-grown in their advertising, and the word diamond on its own is considered insufficient disclosure.

The NAD ruling included a statement from Brilliant Earth: “As part of its mission to cultivate a more transparent, sustainable, compassionate, and inclusive jewelry industry, Brilliant Earth sells both natural and lab-grown diamonds and other fine jewelry to consumers through its online platform and retail showrooms.

“While Brilliant Earth believes that the challenged advertising claims were substantiated, the company informed NAD that it no longer plans to run the challenged claims in any medium, and therefore agreed to voluntarily and permanently discontinue them. Brilliant Earth appreciates the opportunity to participate in the self-regulatory process and thanks NAD for its time on this matter.”

A summary of the ruling can be seen here. Brilliant Earth declined further comment.

Last year, NAD advised Diamond Foundry to change its advertising to improve its disclosure and the Natural Diamond Council to modify verbiage on its website, which included claims about diamond rarity and sustainability. In addition, the United Kingdom’s Advertising Standards Authority asked local e-tailer Ethica to use clearer terminology for its lab-grown diamonds and moissanite.

(Photo: Getty Images)

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