The Legal Environment of Business: Text and Cases (MindTap Course List)
The Legal Environment of Business: Text and Cases (MindTap Course List)
10th Edition
ISBN: 9781305967304
Author: Frank B. Cross, Roger LeRoy Miller
Publisher: Cengage Learning
Question
Book Icon
Chapter 24, Problem 6BCP
Summary Introduction

Case s ummary : The company I sold computer security software by the name of “scareware”. Ads by I redirected the consumers to a site and showed them that their computer was infected with dangerous files. In reality, no scans were conducted. K, the co-founder of I, was aware of the consumer complaints against their ads. An individual would be liable under FTC’s prohibition of deceptive practices if he participated in the deceptive advertisement and had the authority to control them and had the knowledge of them.

To find: The deceptive nature of I’s ads.

Summary Introduction

Case summary: The company I sold computer security software by the name of “scareware”. Ads by I redirected the consumers to a site and showed them that their computer was infected with dangerous files. In reality, no scans were conducted. K, the co-founder of I, was aware of the consumer complaints against their ads. An individual would be liable under FTC’s prohibition of deceptive practices if he participated in the deceptive advertisement and had the authority to control them and had the knowledge of them.

To find: The liability of the person R.

Blurred answer
Students have asked these similar questions
chapter 20 discusses corrective advertising. Sesame Workshop demanded that STX Entertainment run corrective advertising as part of the lawsuit.a. Why would Sesame Workshop want the corrective advertising?b. Do you think corrective advertising would be effective? Why or why not?
A woman sued Taco Bell for deceptive advertising, claiming its tacos had far less beef than advertised. Taco Bell, understanding the potential damage to its brand, immediately went on the defense and filed a countersuit. In addition, Taco Bell’s CEO posted a video statement and essentially released its recipe for seasoned beef which contained 88 percent beef that is 100 percent USDA inspected. Was this enough for Taco Bell to do to avert a PR crisis? What else could they have done?
The Federal Trade Commission (FTC) requires that if advertisers present a claim as fact, then that claim must be true.  The FTC also allows advertising to contain a certain amount of exaggeration about the general delight of using a product.    Advertising tends to produce... Group of answer choices Imperfect information. Billions of dollars of revenue. Perfectly competitive markets. A well-informed public.
Knowledge Booster
Background pattern image
Similar questions
SEE MORE QUESTIONS
Recommended textbooks for you
  • Text book image
    Marketing
    Marketing
    ISBN:9780357033791
    Author:Pride, William M
    Publisher:South Western Educational Publishing
Text book image
Marketing
Marketing
ISBN:9780357033791
Author:Pride, William M
Publisher:South Western Educational Publishing