Asked by abdulbaset charsi on Jun 16, 2024
Verified
An ad for Bagels Inc. attracts buyers who would otherwise have made purchases from Croissant Company. To bring a successful claim against Bagels under the federal Lanham Act for false advertising, Croissant must establish that
A) the ad was false or deceptive.
B) the buyers were deceived by the ad.
C) the ad directly caused Croissant to lose sales.
D) all of the choices.
Lanham Act
United States legislation that provides protection to trademarks and regulates unfair competition.
False Advertising
The act of misleading consumers through deceptive, incorrect, or misrepresented information in advertisements.
- Grasp the implications of deceptive advertising and the Federal Trade Commission's (FTC) role in enforcing advertising standards.
Verified Answer
SP
Soniya PrasadJun 16, 2024
Final Answer :
D
Explanation :
To bring a successful claim under the federal Lanham Act for false advertising, Croissant Company must prove that the advertisement was false or deceptive (A), that the deception actually deceived or had the capacity to deceive a substantial segment of the audience (B), and that the deception was material, in that it likely influenced the purchasing decision, thereby causing them to lose sales (C). All these elements are necessary to establish a claim under the Lanham Act.
Learning Objectives
- Grasp the implications of deceptive advertising and the Federal Trade Commission's (FTC) role in enforcing advertising standards.