What is the FTC Act and how does it relate to advertising?

The FTC Act is a federal law that helps protect the consumer from unfair or deceptive business practices. The FTC Act was created in 1914 to prevent companies from taking advantage of consumers through false or misleading advertising. Under the FTC Act, all advertising must be "truthful, not misleading, and, when appropriate, backed by scientific evidence." The Act defines advertising as the "attempt, directly or indirectly, to influence the public about a product or service." This can include TV and radio spots, internet ads, and printed material. Under the FTC Act, businesses must not make any deceptive claims about their products or services. This includes claims about the quality, safety, cost, or effectiveness of the product or service. The FTC will investigate companies that use deceptive advertising and can fine them or even bring criminal charges if necessary. The FTC also has the authority to stop the sale of illegal products, services, and deals, and to protect consumers from fraudulent activities. For example, the FTC has taken action against a company accused of using deceptive advertising to sell bogus dietary supplements. So, in a nutshell, the FTC Act helps protect consumers from deceptive and unfair advertising practices by providing guidelines for businesses to follow and giving the FTC authority to take action against deceptive advertisers.

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