Sales Law Protection in sales

Consumer- An individual who acquires goods that are intended primarily for personal, family, or household use. Consumer- An individual who acquires goods that are intended primarily for personal, family, or household use. Caveat Emptor- “Let the buyer beware.” Caveat Emptor- “Let the buyer beware.” –Consumers were thought to be adequately protected by their own ability to judge a product’s safety and utility. –Today, any seller who has deceived a consumer while contracting may be sued by an individual as well as be subject to legal action by a government agency. Caveat Venditor- “Let the seller beware.” Caveat Venditor- “Let the seller beware.”

Governmental Procedures Class Action Lawsuit- Allows one or several persons to sue not only on behalf of themselves, but on the behalf of others similarly wronged. Class Action Lawsuit- Allows one or several persons to sue not only on behalf of themselves, but on the behalf of others similarly wronged. Cease-and-desist order- Requires that a company stops a specified conduct. Cease-and-desist order- Requires that a company stops a specified conduct. Consent Order- A voluntary, court-enforceable agreement to stop an illegal or questionable practice. Consent Order- A voluntary, court-enforceable agreement to stop an illegal or questionable practice. Restitution- Permits a party to a contract to recover money or property. Restitution- Permits a party to a contract to recover money or property.

Licensing is a primary way that the government protects consumers. Licensing is a primary way that the government protects consumers. CPSC- Consumer Product Safety Commission- Issues and Enforces safety standards for most consumer products. CPSC- Consumer Product Safety Commission- Issues and Enforces safety standards for most consumer products. FDA- Food and Drug Administration- Requires that the production facilities for cosmetics, food and drugs be clean. FDA- Food and Drug Administration- Requires that the production facilities for cosmetics, food and drugs be clean. –Also requires that the products be prepared from ingredients fit for human use or consumption.

Connor Lisle Connor Lisle is a tool. Connor Lisle is a tool. Connor Lisle has no friends. Connor Lisle has no friends.

Weights and Measures- The government regulates standards for weights and measurements. Weights and Measures- The government regulates standards for weights and measurements. –Gasoline, taxicab meters, grocery store scales, etc. Unfair trade practice- Any method of business that is dishonest or fraudulent or that illegally limits free competition. Unfair trade practice- Any method of business that is dishonest or fraudulent or that illegally limits free competition.

What is the force that encourages efficient businesses to create new and better products and services? What is the force that encourages efficient businesses to create new and better products and services?

Competition

False and misleading advertising- Intentionally deceives, makes untrue claims of quality or effectiveness, or fails to reveal critically important facts. False and misleading advertising- Intentionally deceives, makes untrue claims of quality or effectiveness, or fails to reveal critically important facts. –“Best on the market” “superb quality” and the like are NOT false and misleading advertising. Such phrases are known as Puffing. Bait and switch- Luring customers in by advertising a cheap, out-of-stock product, then directing the consumer to a more expensive product. Bait and switch- Luring customers in by advertising a cheap, out-of-stock product, then directing the consumer to a more expensive product. Federal Trade Commission (FTC)- Prevents false and misleading advertising. Federal Trade Commission (FTC)- Prevents false and misleading advertising.

Unfair Pricing and Service/Mislabeling goods Unfair Pricing and Service/Mislabeling goods –Buy one get one free and inflating the price of one item is illegal. –Cigarette packaging must have warnings on it. –Poison must have “Danger” on it –Packaging can’t be misleading

Other Unfair Trade Practices Using brand name or trademark so similar to another that it confuses the public. Using brand name or trademark so similar to another that it confuses the public. Sending unordered products and demanding payment or return of products. Sending unordered products and demanding payment or return of products. Industrial Espionage Industrial Espionage Fraudulent internet and telemarketing schemes Fraudulent internet and telemarketing schemes Figuring Financing improperly Figuring Financing improperly