A lawsuit charged a mortgage lender with racism because it allegedly charged African-American borrowers higher rates than other borrowers. News of the lawsuit was reported by the wire service, and it appeared in several newspapers. This is an example of:
A)sales detraction.
B)negative advertising.
C)cause selling.
D)negative publicity.
E)bait-and-switch advertising.

Question

Quizplus · Accepted Answer

This news of the lawsuit is an example of negative publicity because it sheds a negative light on the mortgage lender and may damage its reputation.

A Lawsuit Charged a Mortgage Lender with Racism Because It