Regulators:
- Government
- F.T.C. - Federal Trade Commission
- F.D.A.
- Food & Drug Administration
- F.C.C. - Federal Communications Commission
Consumer Interest/Trade Groups
- N.A.B. - National Association of Broadcasters
- A.C.T.
- Action For Children’s Television
F.T.C. Powers: Police unfair methods of competition
and unfair or deceptive practices in commerce.
- issue cease and desist orders
- fine $10,000 per day per incident
- investigate and enforce acts of Congress
- Make Trade
Regulation Rules (TRR’s) - industry-wide
rules to define unfair practices
- make judgments concerning existing laws
- give orders
- require corrective actions
The F.T.C.
has staff attorneys, directors, administrative law judges, 50
commissioners to hear cases & give opinions, 5 commissioners
to render opinions & give orders, then appeal to regular court
of law.
Legal Remedies For Consumers and Competing Firms:
1) Full Disclosure - all data necessary for a consumer to make
a safe and informed decision be provided in a promotional message
2) Substantiation - requires a firm to prove all claims in promotional
messages and make info available to the public..
3) Cease-And-Desist Order - a firm must discontinue a promotion
practice that is considered deceptive and modify messages accordingly.
4) Corrective Advertising - requires a firm to run new ads to
correct false impressions left by previous ads.
5) Fines - dollar ($) penalties levied on a firm fro deceptive
promotions.
T.R.R’S:
Truth/Deception/Unfair Practices
must prove ad deceived
“reasonable consumer” must be deceived
deception must lead to material injury
Some Areas of Interpretation:
- reinforce false beliefs (i.e. - red crystals in bleach do something)
- comparative
ads are deceptive unless: factual, difference is
statistically significant, issue is meaningful, harms a meaningful
competitor
- endorsements: must be qualified to make an expert
judgment, must use, must
examine or study the product
- demonstrations: accurately portrayed
- misuse of promotional
funds: distribution system violations
- Liable Parties for action/fines:
manufacturer, ad agency,
spokespersons, distributors
Voluntary
Practices/Psuedo Legal:
Examples -
- no smoking on t.v ads
- no drinking on t.v. ads
- no alcohol ads on t.v. over certain % alcohol content
- anti-speeding/reckless driving
- no nudity
Do Not Call
Registry
The Federal Government has a Do
Not Call Registry where you can go to avoid
telemarketers and unwanted phone and fax solicitations.
The National Do Not Call Registry gives you a choice about whether
to receive telemarketing calls at home. Most telemarketers should
not call your number once it has been on the registry for 31 days.
If they do, you can file a complaint at this Website. You can register
your home or mobile phone for free. Your registration will be effective
for five years.
You can sign up for your home, cell and personal numbers that
are swirched on for fax machines. Fax numbers and Business to Business
calls are not covered.
You can file a complaint, after 31 days since 2005, by
calling or going to their
website:
To Register either call or go to the website:
(888)382-1222
https://www.donotcall.gov/default.aspx
It is run by the FTC. The FTC has a FAQ
page about the Do
Not Call Registry regarding rules and exception:
http://www.ftc.gov/bcp/conline/pubs/alerts/dncalrt.htm#Exceptions
14. Can I register my business phone number or a fax number?
The National Do Not Call Registry is only for personal phone numbers.
Business-to-business calls and faxes are not covered by the National
Do Not Call Registry.
23. Can I register online if I do not have an active email address?
No. The online registration process requires an active email address.
If you register online, we will send you an email message with
a link in it. You need to click on the link in the email within
72 hours to finalize your registration. If you do not have an email
address, you can register by phone
(1-888-382-1222).
|