Types of False Advertising
Today's regulations define three main acts that constitute false advertising:
failure to disclose, flawed and insignificant research, and product disparagement. The majority of these regulations are outlined in the Lanham Act of 1946 (15 U.S.C.A. § 1051 et seq), which contains the statutes that govern trademark law in the United States.
Failure to Disclose It is considered false advertising under the Lanham Act if a representation is "untrue as a result of the
failure to disclose a material fact." Therefore, false advertising can come from both misstatements and partially correct statements that are misleading because they do not disclose something the consumer should know. The Trademark Law Revision Act of 1988, which added several amendments to the Lanham Act, left creation of the line between sufficient and insufficient disclosure to the discretion of the courts.
What is the ad? "an upgrade" What's in the upgrade? Everything listed in the ad.... Was it "disclosed" that you don't get anything in the ad? No!