Can Companies Be Held Accountable For Small-Print Disclaimers That Contradict Their Ad's Message?

Yes, companies can be held accountable for small-print disclaimers that contradict or undermine the main message of their advertisements. Here are the key points regarding their legal responsibilities and consumer recourse:

Legal Responsibilities

1. Truthful Advertising:

Under FTC regulations, advertisements must not be misleading. If a small-print disclaimer contradicts the main message, it can create confusion and may be deemed deceptive.

2. Clear and Conspicuous Disclosure:

Disclaimers must be presented clearly and prominently enough that consumers can notice and understand them. If the disclaimer is buried in fine print or not easily legible, it may not fulfill legal requirements.

3. Material Information:

Any disclaimer that alters the interpretation of the main claims must be clearly communicated. Failure to do so can mislead consumers about the product's benefits or limitations.

Actions Consumers Can Take

1. Document the Advertisement:

Consumers should keep records of the advertisement, including images or screenshots of both the main message and the small-print disclaimer.

2. File a Complaint:

If consumers believe they were misled, they can file complaints with the FTC or their state’s attorney general’s office. These agencies investigate misleading advertising practices.

3. Seek Refunds or Compensation:

Consumers may pursue refunds or compensation if they feel misled by the advertisement. This can involve contacting the company directly or escalating the issue to consumer protection agencies.

4. Legal Action:

In cases of significant harm or widespread deceptive practices, consumers may consider legal action against the company for misleading advertising. This could involve filing individual lawsuits or joining class action lawsuits.

Example

If a company advertises a vacation package at a low price but includes a small-print disclaimer stating that the price does not include mandatory fees, consumers can document the discrepancy. If misled, they can report the advertisement to the FTC and seek a refund or compensation for any financial loss incurred.