What Is Advertising Litigation?

Advertising Litigation

Advertising litigation is defined as the legal area that covers false or deceptive advertising cases. Lawsuits may be brought by government agencies or corporate competitors based on the Lanham Act—a law that specifically deals with false advertising. The Act outlines how an advertisement can be deemed false. The Federal Trade Commission (FTC) has the ability to file lawsuits to halt deceptive advertising claims. The U.S. Food and Drug Administration may also pursue advertising litigation against violators of government regulations. Companies may be called on to substantiate their advertising claims, whether these are made in print or online.

Additionally, consumers have the right to pursue class action lawsuits under their state laws. The National Advertising Division, or NAD, may also initiate proceedings against companies and recommend that they halt a form of marketing. One goal of false advertising litigation is to safeguard consumers from being influenced in their purchasing decisions by deceptive advertisements.