Which of the following statements best describes the legal standards concerning advertising communication?
A) There is no tolerance for any type of exaggeration.
B) Companies are free to make claims about their products because consumers are expected to have common sense to distinguish between truth and fantasy.
C) Scientific evidence is not helpful for substantiating claims that manufacturers make about their products.
D) Companies can make false claims about products without fear of legal action because the FTC rarely takes action against companies in this situation.
E) Although some exaggeration is tolerated, deceptive claims or claims that cannot be substantiated are likely to result in legal action.

Question

Quizplus · Accepted Answer

The statement that best describes the legal standards concerning advertising communication is that although some exaggeration is tolerated, deceptive claims or claims that cannot be substantiated are likely to result in legal action. The Federal Trade Commission (FTC) actively enforces laws prohibiting false or deceptive advertising and requires that all claims be substantiated by reliable scientific evidence. Companies must ensure that their advertising is truthful and not misleading to avoid legal consequences.

Which of the Following Statements Best Describes the Legal Standards