What are the guidelines for identifying “unfair” or “deceptive” practices?
Advertising law in North Carolina sets certain guidelines for determining if a practice is unfair or deceptive. According to the North Carolina Unfair and Deceptive Trade Practices Act, a practice is considered unfair or deceptive if it causes substantial injury to consumers which is not outweighed by any benefits to consumers or competition. Furthermore, any practice that misrepresents the truth or creates a false impression of a product or service is considered deceptive. This includes the use of false or misleading advertising, bait and switch practices, or other means of deception. In addition, any practice which is likely to mislead or deceive consumers so that they are likely to make a purchase they would otherwise not make is also considered to be deceptive. This includes withholding important information from consumers, such as hidden fees or undisclosed costs of goods or services. Finally, any practice that uses aggressive or intimidating tactics to influence a consumer’s decision is also considered to be unfair or deceptive. This includes the use of high-pressure sales tactics, scare tactics, or deliberately misleading consumers about the terms of a product or service. Overall, any practice that causes substantial injury to consumers, misrepresents the truth, uses aggressive tactics, or withholds important information from consumers is considered to be an unfair and deceptive trade practice in North Carolina.
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