What is considered an unfair practice under consumer fraud law?
Under Hawaii consumer fraud law, certain behaviors are considered unfair practices. Unfair practices include false or misleading statements or representations about goods or services, failing to follow promises or guarantees about goods and services, and failing to disclose important information. Additionally, businesses may not misrepresent the price or quality of its goods or services, or promise a product or service and then fail to deliver. Another unfair practice is engaging in bait-and-switch tactics, or advertising a product based on its quality or price, only to then inform customers that the product is not available and trying to sell another product. It is also considered an unfair practice to coerce a customer into a purchase, use deception to gain a customer’s trust, or solicit a customer when the solicitation is not related to the customer’s business. Finally, a business may not threaten a customer for payment or promise a discounted price for goods or services when the discount is not available. Businesses may also not use deceptive or fraudulent contracts or promotions, or fail to inform customers of their right to a refund. All of these practices are considered unfair and illegal under consumer fraud law.
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