Fair Trading Act Flashcards
What is puffery?
Puffery is statements that are so ridiculous that no one could possibly believe them. The consumer law “let the buyer beware” applies to anyone stupid enough to buy the said product for the sole reason of growing wings.
What does the fair trading act not cover?
It does not cover private sales.
What does the fair trading act prohibit?
The act prohibits
- misleading and deceptive conduct
- false representation
- unfair practises
What is misleading or deceptive conduct?
You have been mislead in the information you receive about goods and services gives you a false impression.
What is false representations?
You have had a false representation made to you when the information you receive about goods (or services) is not true.
What is unfair trading practises?
An unfair practise is a selling method which is misleading or unfair.
What is a raincheck ?
A retailer can offer you a “raincheck”. This means the shop will get more of the product they ran out of or a product of similar quality and value and sell it to you at the special advertised price. It’s a good idea to ask for a raincheck.
What does cavet emptor mean?
Let the buyer beware. The consumer has the responsibility to be wise and carful when choosing to buy a good or service.
3 examples of misleading or deceptive conduct.
Advertisements misleading you about a product brass bed heads are base plated.
A salesmen not telling you about a good or service when you ask a question or statement.
e.g does the car burn oil ?
A false impression about a job you are applying for.
3 examples of false representation.
Advertising 1 price but charging a higher one.
Products labeled incorrectly
- made in France
- made in Korea
No refund signs in shops.
Failing to provide the service you state. e.g city wide repairs
Unfair trading practise examples
Offering prices without intending to supply as stated.
Bait advertising.
Pyramidal selling.
Taking money without intending to supply good or service.
