False Advertising & Unfair Business Practices

False Advertising & Unfair Business Practices

Companies must provide truthful descriptions of the products and services they are selling.

Consumers rely on a company’s advertising to make informed decision on their purchase. Despite there being many federal and state laws that protect consumers from false and misleading advertising, this has not stopped companies from engaging in deceptive advertising. If a consumer relies on incorrect advertising when buying a product, they have the right to file a legal claim receive compensation for those losses.

Common Way Companies Engage in False Advertising

Companies may not make any false or misleading claims regarding the price, quality, or purpose of a product. Other common examples of false advertising include:

  • Misrepresenting the characteristics or qualities of products.
  • Misrepresenting the way a product performs in the way advertised or marketed.
  • Failing to disclose information regarding a product or service.
  • False or misleading pricing such as offering a product at a sale price but then charging a higher price at a later time, or using false or fabricated prices of other products to make it appear that the product in question is much less expensive.

What are other types of unfair business practices?

Unfair business practices include misrepresentation, false advertising or representation of a good or service, tied selling, false free prize or gift offers, deceptive pricing, and noncompliance with manufacturing standards. Other common unfair competition practices include:

  • Conspiring to adjust market prices by discussing prices with competitors.
  • Price discrimination using dominant industry power to secure favorable and unfair prices.
  • Conspiring to boycott a business through communications with other businesses.
  • Conspiring to allocate or divide up markets, territories, or customers.
  • Monopolization of territories or markets.
  • Predatory lending including over-charging interest rates.

What options are available to you if you have been misled by false information?

Victims of false or misleading advertising may file a claim for compensation for any loss incurred and may also demand that the company stop running the false or misleading advertising or include a disclosure statement.

Sometimes a consumer will not suffer substantial financial losses; still, if there are enough individuals who suffered similar losses, it may be possible to initiate a class action lawsuit against the company. To ensure you make the right decision, speak with an experienced attorney who can help determine what kind of legal action would help ensure you receive the justice you deserve.

We’re Here To Help – Contact Us Today

False and misleading advertising violates both federal and state law, and companies must be penalized for their decisions to take advantage of consumers’ trust. If you purchased a good or service and fell victim to a deceptive marketing practice, contact Hekmat Law Group today so we can answer any questions related to your experience and help you get back the money your are owed.




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