pecuniary loss - Correct Answer monetary loss as a result of someone's actions/conduct
disparaging statement - Correct Answer a statement that casts doubt or belittles the quality of anothers products/good/services
injurious falsehood - Correct Answer publication of untrue statements th...
JOMC 486 Final Exam (ANSWERED)
2024 /25
pecuniary loss - Correct Answer monetary loss as a result of someone's
actions/conduct
disparaging statement - Correct Answer a statement that casts doubt or belittles the
quality of anothers products/good/services
injurious falsehood - Correct Answer publication of untrue statements that disparage
the business owner's product or its quality. publisher is liable for pecuniary loss if they
meant to harm the other's interest or should have known that it would harm them
defamatory - Correct Answer to be ________ a disparaging statement must claim
dishonesty, deception, or misconduct
criticism - Correct Answer _______ alone does not defame a producer
competitors privilege - Correct Answer a person may make an excessive comparison
of the quality of their goods over a competitors. the person doesn't have to actually
believe that their things are superior but the comparison cannot contain false facts
regarding the rivals goods/services
veggie libel laws - Correct Answer allows farmers to sue for libel if someone defames
their crops
lanham act - Correct Answer imposes civil liability (potential responsibility for payment)
for anyone who causes confusion to anyone's association or approval of goods or
misrepresents the nature, quality, characteristics, or origin of one's goods
mcneil v pfizer - Correct Answer A company launched an advertising campaign for
Listerine Mouthwash, in which it was implied that listerine is as effective at fighting
plaque and gingivitis as floss. A competing floss company sued for false advertising in
violation of the Lanham act, and unfair competition in violation of state law. Judge
recognized floss company's claim of literal falsity and on its implied falsity claim. In the
end, Listerine ads could still use their studies to support the claim that their product
fights plaque and gingivitis, as long as it does not invoke a comparison to floss (name
the case)
elements of action under the lanham act - Correct Answer false or misleading
statement about the defendan't product
deception
statement is spread to the general public
deception is material and commercial speech
goods/services traveled in interstate commerce
injury to plaintiff
, why have an FTC - Correct Answer they have an expertise in advertising and
competition issues
they are a noncriminal forum for resolving cases
rule making - Correct Answer FTC creates or promotes regulations for future conduct
relating to advertising. general
adjudication - Correct Answer FTC making a formal judgement or decision about a
problem or disputed matter. these are particular and concern past conduct
FTC policy on deceptive advertising - Correct Answer a deceptive act or practice must
be likely to mislead consumers who are acting reasonably in the circumstance with the
act/practice being material. they take into consideration the intended audience and
whether they would believe something the general public would not
material - Correct Answer a claim that is likely to influence a consumer's decision
about whether to buy a product
deception by nondisclosure - Correct Answer even if everything in the ad is true, the
FTC may find it deceptive if the advertisement leaves out material information and by
leaving that out they cause a misleading impression
deception by implication - Correct Answer if an implied claim is false, the FTC will
consider the ad deceptive, even if all the explicit statements are literally true
deception with pictures - Correct Answer when pictures or a combination of pictures
create a misleading impression, the advertisement violates FTC guidelines
four areas of deception - Correct Answer mockups
substantiation
price/bait advertising
endorsements
mockups - Correct Answer presents evidence (test or demonstration) that claims to
prove a fact or product feature to induce consumers to buy the product but the product
shown does not actually prove the fact or feature
three kinds of mockups - Correct Answer 1. suggests the product has a quality that it
does not
2. offered as proof of a product claim but doesn't actually prove the claim
3. substitutes something in for the real product without calling attention to it
substantiation - Correct Answer having competent, reliable, scientific evidence and the
amount of evidence depends on the claim and the product
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