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Frequently Asked Questions

How does the FTC define "bait and switch" advertising?

Frequently Asked Advertising Questions:A Guide for Small Bus...
It's illegal to advertise a product when the company has no intention of selling that item, but instead plans to sell a consumer something else, usually at a higher price. For more information, ask the FTC for its Guides Against Bait Advertising. Rather than just repeating what the manufacturer says about a product, catalog marketers - including companies with online catalogs - should ask for material to back up the claims.
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What kind of advertising claims does the FTC focus on?

Frequently Asked Advertising Questions:A Guide for Small Bus...
Ads that make subjective claims or claims that consumers can judge for themselves (for example, "ABC Cola tastes great") receive less attention from the FTC.
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How does a "bait and switch" occur?

Auto Dealer Fraud FAQ - Findlaw for the Public -
Bait and switch" sales tactics are a form of false or deceptive advertising, in which a car dealer lures potential buyers to the dealership by advertising one vehicle at a certain price, then tells the customer that the particular vehicle is no longer available before using aggressive tactics to sell a different, more expensive vehicle (or the advertised vehicle at a price higher than the advertised price).
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What is bait and switch?

site menu, copyright, credit & link to Google
When a business offers to sell a car or service for a certain price and when you go in to buy it, the offer is altered or the car or service is of lesser value. For example, if a V6 model vehicle is advertised at $20,000 and when you go into the dealership they say that the advertised price is only for the 4-cylinder model then that is bait and switch.
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Are advertising agencies subject to the FTC Act?

Frequently Asked Advertising Questions:A Guide for Small Bus...
Yes. In addition to the advertiser, the advertising agency also may be held legally responsible for misleading claims in ads. Advertising agencies have a duty to make an independent check on the information used to substantiate ad claims. They may not rely on an advertiser's assurance that the claims are substantiated. In determining whether an ad agency should be held liable, the FTC looks at: The FTC can take action if an alcohol ad is deceptive or unfair.
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Why does the FTC believe this merger is anti-competitive?

Whole Foods Market : Frequently Asked Questions
The FTC’s press release states their reasoning and a copy of that release is found in this section this section of my blog post. The FTC is failing to recognize how quickly the competition in the supermarket industry is evolving.
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How does the FTC enforce the Rule?

COPPA FAQ's
The FTC monitors the Internet for compliance with the Rule and brings law enforcement actions when appropriate to deter violations. Parents and others may submit complaints to the FTC through the FTC website, www.ftc.gov, and toll free number, (877) FTC-HELP. Consumer groups, industry members, Commission-approved COPPA safe harbor programs, and other members of the public also may provide information concerning website operators that may not be in compliance with the Rule.
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How does the FTC determine if an ad is deceptive?

Frequently Asked Advertising Questions:A Guide for Small Bus...
The FTC looks at the ad from the point of view of the "reasonable consumer" - the typical person looking at the ad. Rather than focusing on certain words, the FTC looks at the ad in context - words, phrases, and pictures -ÿto determine what it conveys to consumers. The FTC looks at both "express" and "implied" claims. An express claim is literally made in the ad. For example, "ABC Mouthwash prevents colds" is an express claim that the product will prevent colds.
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How does the FTC decide what cases to bring?

Frequently Asked Advertising Questions:A Guide for Small Bus...
FTC jurisdiction. Although the FTC has jurisdiction over ads for most products and services, Congress has given other government agencies the authority to investigate advertising by airlines, banks, insurance companies, common carriers, and companies that sell securities and commodities. The geographic scope of the advertising campaign. The FTC concentrates on national advertising and usually refers local matters to state, county, or city agencies.
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How does the FTC address the needs of small businesses?

Frequently Asked Advertising Questions:A Guide for Small Bus...
In its continuing commitment to regulatory reform, the FTC has repealed almost 50% of its trade regulation rules and has streamlined and simplified remaining rules. The FTC's Small Business Compliance Assistance Policy Statement describes other forms of assistance available to small businesses to help them comply with truth-in-advertising laws. For example, the Business Guidance section of the FTC's website (www.ftc.
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Does the FTC have any special policies relating to infomercials?

Frequently Asked Advertising Questions:A Guide for Small Bus...
Infomercial advertisers must have proof to back up all express and implied claims that reasonable consumers would take from an ad. In addition, advertisers should make sure that the infomercial doesn't deceptively mimic the format of news reports, talk shows, or other independent programming.
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This product is widely advertised; if it is truly a scam, why does the FTC permit it to be sold?

AquaScams FAQ's
The U.S. Federal Trade Comission, like most regulatory agencies, has to use its limited resources for what it considers the most egregious cases of consumer fraud, so a lot of the small-scale operations simply slip in under its radar.
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What standards does the FTC apply when evaluating claims in ads aimed at children?

Frequently Asked Advertising Questions:A Guide for Small Bus...
The FTC pays particular attention to ads aimed at children because children may be more vulnerable to certain kinds of deception. Advertising directed to children is evaluated from a child's point of view, not an adult's. The FTC also works with the Children's Advertising Review Unit (CARU) of the Council of Better Business Bureaus. CARU is a private, self-regulatory group affiliated with the BBB that publishes self-regulatory guides for children's advertising.
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Does FTC law specify how disclaimers or disclosures must appear in ads?

Frequently Asked Advertising Questions:A Guide for Small Bus...
Some laws and regulations enforced by the FTC, such as the 900 Number Rule, the Truth in Lending Act, and the Consumer Leasing Act, have specific requirements that apply to advertising, including that certain information must be "clearly and conspicuously" disclosed. For more information, ask the FTC for the publications Complying with the 900 Number Rule and Advertising Consumer Leases.
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Does the FTC have rules on advertisements for over-the-counter (OTC) drugs?

Frequently Asked Advertising Questions:A Guide for Small Bus...
The FTC handles most matters regarding claims in advertisements for over-the-counter drugs. The Food and Drug Administration (FDA) handles most matters regarding the labeling of OTC drugs. As with any other product, claims for OTC drugs must be truthful and non-deceptive. Given the health and safety issues that can arise in marketing these products, advertisers should take care in substantiating their claims.
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Does the FTC have specific rules on advertisements for prescription drugs?

Frequently Asked Advertising Questions:A Guide for Small Bus...
No. The FDA handles most matters related to the advertising of prescription drugs. For more information about marketing prescription drugs, visit the FDA's website at www.fda.gov or call the FDA Inquiry Line, 1-888-INFO-FDA.
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How does the FTC regulate ads for cigarettes, cigars, and smokeless tobacco?

Frequently Asked Advertising Questions:A Guide for Small Bus...
The FTC can take action if an ad for cigarettes, cigars, or a smokeless tobacco product is deceptive or unfair. In addition, federal law prohibits the advertising of cigarettes, smokeless tobacco, and little cigars on radio, TV, or other forms of electronic media regulated by the Federal Communications Commission. The FTC also enforces various federal requirements mandating health warnings on advertising, point-ofpurchase displays, and packaging of tobacco products.
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What does the FTC say about credit repair?

Credit Report Repair - OVATION LAW - FAQs
Unfortunately, many credit repair agencies have taken advantage of the rising demand of credit restoration, posing as full service credit repair agencies, providing little to no real service and then quickly disappearing. Many of these 'companies' made promises they couldn't, or didn't intend to keep, only to take the money and vanish. Several of these agencies even encouraged consumers to use unethical and even illegal tactics to 'clean' their credit reports.
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What extra services does FTC provide?

FAQ's in Guatemalan Adoption Process
We provide services to our adopting parents that we think are unique. Read more about those services here.
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How does the switch work?

Innovationhouse.com - Nightstar Frequently ASked Questions
Inside the switch is a small magnet. As the switch is moved forward the magnet slides over and activates a reed switch mounted on the circuit board inside the flashlight. When the reed switch is activated (or closed) energy in the capacitor flows through the LED. This design feature has several advantages over conventional mechanical switches used in other flashlights.
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How Does EPA Define Environmental Justice?

Frequently Asked Questions - Environmental Justice | Complia...
Environmental Justice is the fair treatment and meaningful involvement of all people regardless of race, color, national origin, culture, education, or income with respect to the development, implementation, and enforcement of environmental laws, regulations, and policies.
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How does the state of Georgia define a minority business?

First Stop Business Center - Frequently Asked Questions
According to the Georgia Department of Administrative Services (DOAS), the state defines a minority business (or Minority Business Enterprise - MBE) as one that is owned or controlled by one or more minority persons and is authorized to and is doing business under the laws of this state, paying all taxes duly assessed, and domiciled within this state.
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Which bait should I use? How long does it take for baits to work?

Texas Imported Fire Ant Research and Management Project
The key to using baits is patience. Applied properly and using a fresh bait product, a broadcast application will give 80% to 90% control, rarely 100%. For instance, Amdro® is the fastest acting, giving maximum control in 3 to 6 weeks. Logic® or Award®, when applied late in the year, may take several months to provide maximum control, but will suppress ant colonies for a year or more.
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