What Are Deceptive Trade Practices, and How Are They Covered Under Kentucky Business Law?

The term “deceptive trade practices” encompasses any type of advertising or labeling intended to somehow mislead or deceive consumers. Kentucky has extensive consumer protection laws — in addition to federal laws — to protect consumers from suspicious or disingenuous advertising and sales tactics. There are also mechanisms to punish companies that engage in these practices.

While Kentucky is not one of the states that has adopted the Uniform Deceptive Trade Practices Act, it still has plenty of statutes in the Consumer Protection and Criminal sections of its revised statutes. These laws prohibit companies from intentionally misleading consumers.

Businesses that violate these regulations could be forced to pay remedies, such as reasonable attorney’s fees, fines worth hundreds of dollars and, in severe cases, imprisonment for the owners.

Additional consumer protections

Beyond the laws that Kentucky and the federal government have established to prevent businesses from purposefully deceiving customers, there are plenty of other means for consumers to protect themselves and exercise their rights. This is important, as state laws are limited in terms of the remedies they can provide after a scam has already occurred.

Consumer protection offices are scattered throughout the state and provide Kentuckians with up-to-date information on scams in those specific areas. Local residents can report individuals or businesses in their area who engage in misleading business practices by filling out paperwork and submitting it to one of these offices.

Additional resources include www.consumeraction.gov, a federal website developed with the intent of providing consumers with another outlet to report wrongdoing. The Better Business Bureau also keeps an eye on misleading practices.

It is important for business owners to have a thorough understanding of what is and is not allowed in their advertising and labeling practices. For more information on this key issue, contact a trusted Kentucky business lawyer at Hemmer DeFrank Wessels, PLLC.

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