Here is The Warning Letter to Internet Marketers on Fuel Saving Products From The FTC. Found here: http://www.ftc.gov/opa/2002/04/energysurfletter.shtm
United States of America
Federal Trade Commission
Washington D.C. 20580
VIA E-MAIL & CERTIFIED U.S. MAIL
RETURN RECEIPT REQUESTED
Dear ______________:
Your
website claims that your automotive product increases gas mileage and
lowers fuel costs. This letter provides you with information regarding
the Federal Trade Commission Act ("FTC Act"), 15 U.S.C. § 41 et seq.,
which prohibits deceptive marketing practices, including false and
unsubstantiated advertising. Gas-savings and related claims that are
not supported by competent and reliable scientific evidence may violate
the FTC Act.
Over the years, the FTC has taken law
enforcement action against numerous sellers who misrepresented the
benefits of purported fuel-saving products, from gas-line magnets to
engine treatments. We have not yet determined whether your advertising
violates the FTC Act. We have, however, copied and preserved your
online advertising because it contains specific gas-savings claims. If
your website misrepresents the benefits of your product, makes claims
that lack credible scientific substantiation, or is otherwise deceptive
or fraudulent, you should stop making those claims or revise them
appropriately right away. Otherwise, you may be subject to legal action
that could require you to stop your advertising and to pay money back
to consumers.
In evaluating your advertising, please consider the following:
- Gas-Savings Claims Must Be Backed By Scientific Evidence.
Any direct or implied claim about the efficiency, gas savings, fuel
consumption, emission reduction, operation cost, cost recovery, or
"payback,"of a fuel-saving product must be substantiated by competent
and reliable scientific evidence, such as testing, before the claim is
made. A "competent and reliable scientific test" is a test in which
persons qualified by professional training, education and experience
formulate and conduct the test and evaluate its results in an objective
manner using procedures that are generally accepted by such
professionals to attain valid and reliable results.
- Distributors/Catalogers Have a Duty to Ensure the Manufacturer Has Credible Substantiation.
Before you repeat an energy-related claim made by a third-party
manufacturer, you must determine that the manufacturer possesses
competent and reliable scientific evidence substantiating the
representation. If the "proof" isn't plausible or looks questionable,
you should proceed cautiously. Stick to ad copy that can be supported.
If you embellish the manufacturer's representations or make your own
claim, you are responsible for having competent and reliable scientific
evidence to back up your claim.
- Disclosures Must Be Conspicuous.
When you make a disclosure to avoid deception, it must be clear and
understandable, and be made prominently and in close proximity to the
claim it modifies. A disclosure cannot remedy a false claim.
- Use Care When Making "Up to" Claims.
In substantiating maximum or "up to..." claims (e.g., "save up to
40%"), you should not rely on an unusual or "outlier" test result. The
advertised result should be one that the average consumer can
reasonably expect to achieve.
- References to Tests or Standards Must Be Accurate.
If your advertising refers to any product testing or to any review or
approval by a government or other organization, the representation must
be true and must not misrepresent the purpose, content or conclusion of
the test, review or approval. Similarly, if you claim that your product
meets certain government or industry specifications or requirements,
the claim must be true and may not misrepresent the purpose or content
of such specifications or requirements.
- Exercise Care in Using Testimonials or "Case Studies."
Consumer testimonials or case studies can never be used to make a claim
that the advertiser itself cannot substantiate. A statement that not
all consumers will get the same results is not a legally acceptable
substitute for substantiating your product claims.
We
have enclosed by U.S. mail consumer education brochures and press
releases concerning some recent FTC fuel-saving cases. These explain
some of our concerns about deceptive advertising for fuel-saving
products.
The FTC is the U.S. government agency responsible
for enforcing a number of federal consumer protection laws, including
the FTC Act. You can obtain further information about the FTC by
visiting http://www.ftc.gov. If you have any questions or would like more information, please contact Mr. Joel N. Brewer at (202) 326-2967 or jbrewer@ftc.gov.
Sincerely,
Elaine D. Kolish
Associate Director for Enforcement
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