In
California’s
competitive marketplace, every advertisement
is an opportunity to attract new
customers.
Many businesses rely heavily
on the effectiveness of their costly
ads to generate new business and
they work hard to keep those new
customers.
However, if your
advertisement misrepresents your
professional services, you could
be in violation of the law.
Advertising laws are designed
to protect consumers from unethical
and deceptive business practices
and competitors from unfair and
illegal advertising.
The Bureau of Electronic and Appliance
Repair (BEAR)
understands that service dealers
who advertise legally are operating
at a competitive disadvantage with
those who lure consumers with misleading,
illegal ads.
Be it known,
BEAR
Field Representatives and their
support staff are tasked to scan
and identify false or misleading
advertising.
When a business advertises
to lure customers, it also leaves
themselves open to public scrutiny,
by competitors, the Bureau, and
customers.
BEAR
can issue Notices of Violations,
citations and fines, revoke a license,
and or send a Field Representative
to educate and help the business
owner to understand the differences
of good and illegal advertising.
Businesses that have been
caught are closely monitored to
ensure changes in advertising is
consistent.
Guide To Good Advertising…
·
An ad must show the business phone
number, as well as the business
name and address, as the information
appears on the service dealer’s
state registration.
·
If the ad includes the term “repaired
in the home,” it must state whether
there will be a charge if the service
repairs can not be completed in
the home.
·
If the ad implies that the person
performing the service is “factory-trained,”
a “factory specialist,” “factory-authorized,”
“authorized,” “licensed,” “certified,”
etc., that person must truly meet
those specifications.
·
If the term “free” or “no charge”
is used in an ad, any conditions
associated with the offer must be
clearly stated in the ad.
If no conditions are stated,
the article or service must actually
be free.
·
If the words “guarantee,” “guaranteed,”
“no-fix, no pay,” or similar words
are used, the ad must clearly state
who will honor the guarantee (service
dealer, manufacturer, etc.) and
what is guaranteed (time, parts,
and/or labor).
·
If the ad describes the service
operations of a business using “24-Hour,”
“day and night,” or similar terms,
the services must actually be available
24 hours a day.
A message service that schedule
service calls for a later time does
not constitute 24-Hour service.
·
If the ad uses the term “discount
pricing,” or similar words in an
ad, the usual or customary price
that is being discounted must be
prominently displayed in the ad
– “$20.00 of regular service call
price… regular service call is $75.00.”
The Business
and Professions Code 17500, Federal
Trade Commission Act and Lenham
Act are the primary means for regulating
false or misleading advertising.
Every business owner should
review the statutes and look at
your ads as a customer would.
Also don’t make promises
you can’t keep, avoid fine print
– keep it clean and clear, and make
sure you can substantiate your claims.
Help keep the advertising legal
and fair!
If you see a competitor or
any business advertising sounding
deceptive, report it to
BEAR
by going to their web site at
www.bear.ca.gov or by calling
(916) 574-2069.
Visit the
BEAR
web site for valuable information
on advertising in the business.
Email
questions or comments to Dale Chessey:
dale_chessey@dca.ca.gov
