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Advertising Fraud

ADVERTISING FRAUD is generally defined as advertising that is misleading in any material respect, either explicitly or indirectly through representations made in a statement or combination of statements, and any failure to reveal material facts. A statement or representation in an advertisement may also be false or fraudulent when it constitutes a half-truth.

The legal definition is much stricter than common sense, which requires the element of “deception” in advertising to establish the illegality. According to Section 15 of the Federal Trade Commission Act of the United States, deceptive advertisements are those that are “misleading in material respect,” and this has been interpreted by the courts to mean that the deceptive advertisement must affect the purchasing decisions of the customer.

Any form of commercial information or communication, ...

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