Unfair Trade Practices

Acknowledgement
The images/ video clips in the presentation are
drawn from different internet sites for the purposes
of classroom instruction.

The references to the sources are at the end of the

presentation.
 Consumer Protection Act
provides on unfair trade practices.
 CPA

Remove Remove Discontinue unfair

defects deficiency trade practice
 Unfair trade practice is:

Any unfair or deceptive practice

for promoting sale or service.
 Unfair Trade
Practice

False False False claim of

Advertising Bargain gift or prize
Advertisement
An advertisement can be done
through any medium.
Exercise
 Advertisement
the practice of making any statement, whether
orally or in writing or by visible representation
1. Ordinary water advertised as mineral water.

2. Cotton-polyester mixed fabric described as pure

cotton.

Sec 2 (r)(1) (i) false representation of the goods.

Illustrations
A bank claims to provide 24 hours service when it
does not.

A mutual fund advertises to have certain performance

ratings conducted by a rating organisation without
obtaining the rating.

Sec 2 (r)(1)(ii): false representation of service.

Illustrations
A car company advertises that the car components
are made by Suzuki in Japan.

Sec 2 (r)(1) (iv) represents that the goods or

services have sponsorship, approval,
performance, characteristics, accessories, uses
or benefits which such goods or services do not
have
A company claims that the washing machines are
made by technology from a reputed company, while
the company is still negotiating for a joint venture.

Sec 2 (r)(1) (v) represents that the seller or the

supplier has a sponsorship or approval or
affiliation which such seller or supplier does not
have
A software advertises to be an associate of IBM
when it only uses IBM machines.

Sec 2 (r)(1) (iv) represents that the goods or

services have sponsorship, approval,
performance, characteristics, accessories, uses
or benefits which such goods or services do not
have
A hot water belt by wearing which a person can
shed weight.

Sec 2 (r)(1) (vi): false representation of useful of

goods or service.
Novino Battery Case:
Supreme Court
Technically False: Collaboration is with
the company, not the tradename.

Tradename
A technically correct statement
may mislead.
And otherwise false statement
may convey the truth.
Do we go with the literal meaning
or the meaning conveyed?

The meaning conveyed.

The Mitsushita Ltd., is not a popular name in India
while its products "National" and "Panasonic" are.

An advertisement mentioning merely Mitsushita Ltd.,

may fail to convey anything to an ordinary buyer
 The advertisement communicates
collaboration with the makers of National.

It is not a false advertisement.

 Film Personality
Look alike and voice imitators.

That the goods or services have the

sponsorship of the person.

..\7 Unfair trade practices video\Sponsorship\Fevistick ad-Sachin look-alike.mp4

..\7 Unfair trade practices video\Sponsorship\VOLKSWAGEN Passat B7 IPL TVC _Look Alike_ - 30sec -
MAGIC HOUR FILMS (India).mp4
A false claim the a bulb would last for five
years.

(vii) gives to the public any warranty or guarantee of

the performance, efficacy or length of life of a product
or of any goods that is not based on an adequate or
proper test thereof:
A
..\7 Unfair trade practices video\Long life\PIXX TV AD 2014.mp4
 Video on False advertising
Jio

Dish TV

Airtel fast network

Pepsodent

5 plus 3T smartphone

Amazon India

Panasonic

Pepperfry

This one is not:

Samsung
Video on false advertising

..\7 Unfair trade practices video\Generally unfair\Generally

unfair- final.wmv

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..\7 Unfair trade practices video\Generally unfair\1 Glucovita Bolts - Classroom.mp4

..\7 Unfair trade practices video\Generally unfair\2 Sumul Probiotic Dahi.mp4

..\7 Unfair trade practices video\Generally unfair\3 Lary Spray - Man.mp4

..\7 Unfair trade practices video\Generally unfair\4 Complan New TV Commercial Ad ~ Hafftickit.mp4

..\7 Unfair trade practices video\Generally unfair\5 Saffola Total - Double Sure ~ New! Ad 2014.mp4

..\7 Unfair trade practices video\Generally unfair\6 Vaseline Healthy White Lightening Shraddha Kapoor
Contest TVC - Hindi.mp4
Can end