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What counts as a deceptive trade practice?

All companies in the United States must adhere to certain standards. The statements that they make must be honest and clear, and they cannot deceive consumers, investors or employees through poor and false statements. If you are concerned about being involved in a legal dispute because your company has been accused of deceptive trade practices, you should take this very seriously.

It is important that all business partners have a good understanding of their legal obligations. The following is an overview of deceptive trade practice law and an explanation of some of the most common types of deceptive trade practices.

How is a deceptive trade practice defined under the law?

A deceptive trade practice is any type of activity that is carried out by a company or an individual that has the intention of misleading the consumer into purchasing a product. Deceptive trade practices are largely governed at a state level and often involve civil penalties and injunctions. Several states have adopted the Uniform Deceptive Trade Practices Act (UDTPA), but this does not include New York.

Is false advertising in New York forbidden?

False advertising in New York is illegal, and it is considered to be a deceptive trade practice. This means that businesses cannot make false or misleading claims when advertising their products in the state.

What are some common examples of deceptive trade practices?

One common example of a deceptive trade practice is when a company incorrectly states that a product needs repair. For example, if your phone is serviced and the store says that your phone needs a repair that will cost $100, you will likely believe them. If the store lies about this to earn additional income, they are participating in a deceptive trade practice.

Another example of deceptive trade practices is misrepresenting goods for sale. For example, if a clothing website shows an image of a new dress for sale, and it looks used, different or has a defect when it is delivered to the customer, this could be counted as a deceptive trade practice.

If you are concerned about legal action being taken against you as a business, you must take swift action to defend yourself. Doing so could prevent you from facing charges.

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