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False Advertising

California has laws imposing penalties on businesses that try to deceive consumers or other companies through unfair practices such as false claims regarding products or services. False advertising laws are designed to protect the consumers, such as yourself.

Below are descriptions of the these laws.

  • Any type of deceptive advertising that causes a loss of revenue for any competitor is prohibited
  • Businesses deceiving consumers by advertising a product, property, or service in a false or deceptive manner is also prohibited

While, it is common for advertisers and competitors in the same industry to all claim to be able to provide “the best” services or products, simply saying they are “the best” is not prohibited.  As statements like “best product” are considered to be a personal opinion,  not a fact, so there are stipulations to the law that do allow for this type of competitive advertising.

However, when an advertisement goes a step beyond being competitive and is designed to deceive consumers into purchasing a service or product that is not what is promised, then it  becomes a problem. In such instances, legal actions may be brought by an injured consumers and also, in some cases, by business competitors to recover lost revenue or payment.

An example of when advertising is considered deceptive rather than just competitive is the class action lawsuit presently being filed against Kia and Hyundai for false inflating mileage.  With the high cost of gas many consumers are making their car buying decisions based on mpg.  Not only does it hurt the consumer when they decide to buy a Hyundai over a competitor because they believe they will get better gas savings, but it also hurts the competitor that has posted it’s correct mpg which may show a less desirable mpg than the inflated mpg that Hyundai deceptively posted.

If you have been a victim of false advertising at the hands of Kia, Hyundai or another auto maker please give my office, The Law Office of Todd M. Friedman a call at (877) 449-8898.