What types of activities can constitute unfair competition?
Unfair competition law in Massachusetts includes activities that are considered to be unfair or deceptive trade practices. Some of the activities that may constitute unfair competition in Massachusetts include false advertising; misrepresenting goods or services; bait and switch tactics; price discrimination; tying arrangements; disparaging someone’s goods, services, or business; and predatory pricing. False advertising, which is prohibited under Massachusetts law, is defined as making false or misleading claims in an advertisement. This includes false claims about a product’s quality, price, or performance. It also includes claims that are likely to deceive people in their decisions about a product. Misrepresenting goods or services is also prohibited in Massachusetts. This includes exaggerating the benefits of a product or service and failing to disclose important information. Bait and switch tactics involve enticing customers with one good or service, only to switch it out with a lower-quality one when customers attempt to purchase it. Price discrimination occurs when someone is charged different prices for the same product or services. Tying arrangements are when a person is required to purchase additional products or services to get the original product they are seeking. Disparaging someone’s goods, services, or business is when a competitor makes false or misleading statements about their competition’s products or services. Finally, predatory pricing is when a business sets prices so low that their competition cannot compete, resulting in them having to discontinue their product or service. All of these activities are considered to be forms of unfair competition and prohibited under Massachusetts law.
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