Chapter 4 Notes

Chapter 4 Notes - Chapter 4 Notes Fraud and Consumer...

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Chapter 4 Notes: Fraud and Consumer Protection Legal Definition of Fraud: making a false statement of a past or exisiting fact with knowledge of its falsity, or -Fraud occurs when an individual or a company knowingly misrepresents or fails to reveal an important fact to the consumer, with the ultimate result that the consumer is cheated. - Who are Targets? Individuals who are unsure of themselves, are dissatisfied with their lives, or fail to use good judgment. “There is a Sucker Born Every Minute…” - attributed to P.T. Barnum (Barnum and Bailey Circus) - Joe Bessimer (conman) - David Hannum (Cardiff Giant) -The Cardiff Giant one of the most famous hoaxes in American history, was a 10-foot-tall (3 m) “petrified man” uncovered on October 16, 1869 by workers digging a well behind the barn of William -Hull hired men to carve out an 11-foot-long (3.3 m) block of gypsum in Fort Dodge, Iowa . Food Product Curves - Nutritives…that cure physical ailments - Legally products claiming to “cure” anything have to be subjected to Food and Drug Administration (FDA) approval. - If it is labeled as a “dietary supplement” it escapes FDA scrutiny. Beauty Product Scams - Quick fixes that will make us beautiful or handsome - Cosmetics fall under FDA jurisdiction; however, they only have to
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This note was uploaded on 03/30/2008 for the course HACE 2100 taught by Professor Mooreman during the Spring '08 term at UGA.

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Chapter 4 Notes - Chapter 4 Notes Fraud and Consumer...

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