Ch. 24: Consumer Law – No. 1
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
The Federal Trade Commission (FTC) polices advertising
that misleads consumers either by making an unjustified
False Statements: Advertising that appears to be based
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
FTC ENFORCEMENT
If, after investigating, the FTC staff determines that an
to stop the unfair or deceptive advertisement,
require the advertiser to counteradvertise (i.e., retract
and correct its prior unfair or deceptive advertisement),
and
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
TELEMARKETING AND FAX ADVERTISING
The Telephone Consumer Protection Act prohibits
to initially inform the recipient of the seller’s name and the
product being sold. In addition, the telemarketer must
(1) refrain from misrepresenting information,
(2) inform those they call of (a) the total cost of the goods
being sold, (b) any restrictions on obtaining or using the
in the national “Do Not Call” Registry unless the
person is already doing business with the seller on
whose behalf the call is made.
Ch. 24: Consumer Law – No. 4
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
LABELING AND PACKAGING
The Fair Packaging and Labeling Act requires that food
product labels identify the
(1) product,
(2) net quantity of the product,
(3) manufacturer, and
(4) packager or distributor.
must indicate the product’s place of origin.
Other federal labeling and packaging laws include The
Comprehensive Smokeless Tobacco Health Education Act,
The Wool Products Labeling Act, and The Flammable
Ch. 24: Consumer Law – No. 5
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
DECEPTIVE SALES PRACTICES
Regulation Z: Federal Reserve regulation governing credit
terms of sales contracts.
“Cooling Off” Laws: Laws that permit consumers a period
telephone, mail-order, fax, and on-line sales,
used vehicle sales,
Ch. 24: Consumer Law – No. 6
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
FOOD AND DRUG SAFETY
The Food and Drug Administration (FDA)
protects consumers from adulterated and misbranded
food and drugs;
regulates food quality, food additives, and food
from public distribution food and drugs the FDA deems
to be unsafe or to be unsafely or misleadingly packaged.
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
FTC ENFORCEMENT
If, after investigating, the FTC staff determines that an
to stop the unfair or deceptive advertisement,
require the advertiser to counteradvertise (i.e., retract
and correct its prior unfair or deceptive advertisement),
and
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
TELEMARKETING AND FAX ADVERTISING
The Telephone Consumer Protection Act prohibits
to initially inform the recipient of the seller’s name and the
product being sold. In addition, the telemarketer must
(1) refrain from misrepresenting information,
(2) inform those they call of (a) the total cost of the goods
being sold, (b) any restrictions on obtaining or using the
in the national “Do Not Call” Registry unless the
person is already doing business with the seller on
whose behalf the call is made.
Ch. 24: Consumer Law – No. 4
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
LABELING AND PACKAGING
The Fair Packaging and Labeling Act requires that food
product labels identify the
(1) product,
(2) net quantity of the product,
(3) manufacturer, and
(4) packager or distributor.
must indicate the product’s place of origin.
Other federal labeling and packaging laws include The
Comprehensive Smokeless Tobacco Health Education Act,
The Wool Products Labeling Act, and The Flammable
Ch. 24: Consumer Law – No. 5
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
DECEPTIVE SALES PRACTICES
Regulation Z: Federal Reserve regulation governing credit
terms of sales contracts.
“Cooling Off” Laws: Laws that permit consumers a period
telephone, mail-order, fax, and on-line sales,
used vehicle sales,
Ch. 24: Consumer Law – No. 6
Clarkson et al.’s Business Law: Commercial Law for Accountants (1E)
FOOD AND DRUG SAFETY
The Food and Drug Administration (FDA)
protects consumers from adulterated and misbranded
food and drugs;
regulates food quality, food additives, and food
from public distribution food and drugs the FDA deems
to be unsafe or to be unsafely or misleadingly packaged.