consumer law review - Chapter Review 1. The Federal Trade...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter Review 1. The Federal Trade Commission (FTC) prohibits “unfair and deceptive acts or practices.” A practice is unfair if it meets the following three tests: It causes a substantial consumer injury. The harm of the injury outweighs any countervailing benefit. The consumer could not reasonably avoid the injury. 2. The FTC considers an advertisement to be deceptive if it contains an important misrepresentation or omission that is likely to mislead a reasonable consumer. 3. FTC rules prohibit bait and switch advertisements. A merchant may not advertise a product and then disparage it to consumers in an effort to sell a different item. 4. The FTC prohibits telemarketers from calling telephone numbers listed on its do-not-call - registry. =. Consumers may keep as a gift any unordered merchandise that they receive in the mail. 6. Under the FTC door-to-door rules, a salesperson is required to notify the buyer that she has the right to cancel the transaction prior to midnight of the third business day thereafter. 7.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 2

consumer law review - Chapter Review 1. The Federal Trade...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online