What are the rules on disparagement and comparative advertising?
In North Dakota, the rules on disparagement and comparative advertising are addressed in the Deceptive Trade Practices Act. The Act prohibits a person from making false or disparaging statements about the services, goods, or business of another person or organization with the intent to cause financial or other harm. This is known as disparagement. Comparative advertising is also prohibited under this law if it is false or misleading, and it is illegal to make false or misleading claims about other products or services for commercial purposes. The Deceptive Trade Practices Act also prohibits businesses from making unsubstantiated claims about their products or services. This means that businesses cannot make false or exaggerated claims about their goods or services. Businesses are also prohibited from making claims that are impossible to prove. For example, if a business claims that their product or service is a “miracle cure,” they must be able to back up their claims with reliable scientific evidence. In addition, the law prohibits businesses from using false or misleading advertising, such as using images of products or services that don’t actually belong to the business. It is illegal for businesses to falsely suggest that their products or services are endorsed by a celebrity or another business. A business can make a comparison about their products or services with another company, but it must be factually accurate and not misleading. Overall, North Dakota has laws that prohibit deceptive advertising practices, including disparagement and comparative advertising. Businesses must adhere to all provisions of the Deceptive Trade Practices Act in order to remain compliant with the law.
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