Can advertisers be held responsible for consumer’s reliance on deceptive advertising?

Yes, advertisers can be held responsible for consumer’s reliance on deceptive advertising in North Carolina. Advertisers must adhere to the North Carolina Unfair or Deceptive Acts and Practices Act, whereby it is illegal to create or disseminate any statement or representation that mislead or deceive consumers relating to the nature, characteristics, suitability, or quantity of a product or service advertised. If a consumer relies on a false or misleading representation, the advertiser can be held liable. In North Carolina, the Attorney General may sue an advertiser for deceptive practices that violate the Act. They may require that the advertiser stop their deceptive practices, and may even require the advertiser to pay penalties or provide compensation to victims. For example, if an advertiser claims a product will do something that it does not do or make a representation that is false, and consumers rely on the representation and suffer a financial loss as a result, the advertiser may be held liable. Advertisers must be sure to provide accurate and truthful representations about their products and services. If they engage in deceptive practices and a consumer relies on the misrepresentation, the consumer may be protected under North Carolina law to seek compensation and damages from the advertiser.

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