Bait-and-switch: Difference between revisions
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'''Bait-and-switch''' is the action of advertising goods that are an apparent bargain, with the intention of substituting inferior or more expensive goods.<ref>https://dictionary.cambridge.org/dictionary/english/bait-and-switch</ref> The measures against this practice depend greatly upon the consumer laws in each country, but it is usually considered under unfair and deceptive transactions. | '''Bait-and-switch''' is the action of advertising goods that are an apparent bargain, with the intention of substituting inferior or more expensive goods.<ref>{{Cite web |title=bait-and-switch |url=https://dictionary.cambridge.org/dictionary/english/bait-and-switch |url-status=live |access-date=14 Apr 2025 |website=Cambridge Dictionary}}</ref> The measures against this practice depend greatly upon the consumer laws in each country, but it is usually considered under unfair and deceptive transactions. | ||
==Legality== | ==Legality== | ||
In the United States, the [[Federal Trade Commission|Federal Trade Commission]] (FTC) has issued a Notice that it has determined that bait and switch sales practices are unfair or deceptive trade practices, and violate the FTC Act.<ref>https://www.ftc.gov/enforcement/penalty-offenses/bait-switch</ref><ref>https://www.ftc.gov/system/files/ftc_gov/pdf/Bait-Switch.pdf</ref> And in December 2024, the Commission announced a "Bipartisan Rule Banning Junk Ticket and Hotel Fees", in an effort to end the hidden fees when buying tickets or accomodation:<ref>https://www.ftc.gov/news-events/news/press-releases/2024/12/federal-trade-commission-announces-bipartisan-rule-banning-junk-ticket-hotel-fees</ref><blockquote>"The Junk Fees Rule will ensure that pricing information is presented in a timely, transparent, and truthful way to consumers of live-event tickets and short-term lodging, two industries whose pricing practices the Commission has studied in particular. Consumers searching for hotels or vacation rentals or seats at a show or sporting event will no longer be surprised by a pile of “resort,” “convenience,” or “service” fees inflating the advertised price. By requiring up-front disclosure of total price including fees, the rule will make comparison shopping easier, resulting in savings for consumers and leveling the competitive playing field." | In the United States, the [[Federal Trade Commission|Federal Trade Commission]] (FTC) has issued a Notice that it has determined that bait and switch sales practices are unfair or deceptive trade practices, and violate the FTC Act.<ref>{{Cite web |title=Penalty Offenses Concerning Bait & Switch |url=https://www.ftc.gov/enforcement/penalty-offenses/bait-switch |url-status=live |access-date=14 Apr 2025 |website=FTC}}</ref><ref>{{Cite web |title=SYNOPSIS OF FEDERAL TRADE COMMISSION DECISIONS CONCERNING “BAIT AND SWITCH” SALES PRACTICES |url=https://www.ftc.gov/system/files/ftc_gov/pdf/Bait-Switch.pdf |url-status=live |access-date=14 Apr 2025 |website=FTC}}</ref> And in December 2024, the Commission announced a "Bipartisan Rule Banning Junk Ticket and Hotel Fees", in an effort to end the hidden fees when buying tickets or accomodation:<ref>{{Cite web |date=17 Dec 2024 |title=Federal Trade Commission Announces Bipartisan Rule Banning Junk Ticket and Hotel Fees |url=https://www.ftc.gov/news-events/news/press-releases/2024/12/federal-trade-commission-announces-bipartisan-rule-banning-junk-ticket-hotel-fees |url-status=live |access-date=14 Apr 2025 |website=FTC}}</ref><blockquote>"The Junk Fees Rule will ensure that pricing information is presented in a timely, transparent, and truthful way to consumers of live-event tickets and short-term lodging, two industries whose pricing practices the Commission has studied in particular. Consumers searching for hotels or vacation rentals or seats at a show or sporting event will no longer be surprised by a pile of “resort,” “convenience,” or “service” fees inflating the advertised price. By requiring up-front disclosure of total price including fees, the rule will make comparison shopping easier, resulting in savings for consumers and leveling the competitive playing field." | ||
FTC, Press Release. December 17, 2024</blockquote>The aim of this rule is to force companies and sellers of these goods to be more transparent. | FTC, Press Release. December 17, 2024</blockquote>The aim of this rule is to force companies and sellers of these goods to be more transparent. | ||
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==Recent cases== | ==Recent cases== | ||
*FTC Sends More Than $1.1 Million in Refunds to Consumers Deceived by Bait-and-Switch Ads for LASIK Vision Correction Procedures.<ref>https://www.ftc.gov/news-events/news/press-releases/2024/10/ftc-sends-more-11-million-refunds-consumers-deceived-bait-switch-ads-lasik-vision-correction</ref> | *FTC Sends More Than $1.1 Million in Refunds to Consumers Deceived by Bait-and-Switch Ads for LASIK Vision Correction Procedures.<ref>{{Cite web |date=3 Oct 2024 |title=FTC Sends More Than $1.1 Million in Refunds to Consumers Deceived by Bait-and-Switch Ads for LASIK Vision Correction Procedures |url=https://www.ftc.gov/news-events/news/press-releases/2024/10/ftc-sends-more-11-million-refunds-consumers-deceived-bait-switch-ads-lasik-vision-correction |url-status=live |access-date=14 Apr 2025 |website=FTC}}</ref> | ||
== See also == | ==See also== | ||
* [[Post-purchase EULA modification]] | *[[Post-purchase EULA modification]] | ||
* [[Retroactively amended purchase]] | *[[Retroactively amended purchase]] | ||
* [[Retroactive policy enforcement]] | *[[Retroactive policy enforcement]] | ||
==References== | ==References== | ||
Latest revision as of 18:57, 14 April 2025
Bait-and-switch is the action of advertising goods that are an apparent bargain, with the intention of substituting inferior or more expensive goods.[1] The measures against this practice depend greatly upon the consumer laws in each country, but it is usually considered under unfair and deceptive transactions.
Legality[edit | edit source]
In the United States, the Federal Trade Commission (FTC) has issued a Notice that it has determined that bait and switch sales practices are unfair or deceptive trade practices, and violate the FTC Act.[2][3] And in December 2024, the Commission announced a "Bipartisan Rule Banning Junk Ticket and Hotel Fees", in an effort to end the hidden fees when buying tickets or accomodation:[4]
"The Junk Fees Rule will ensure that pricing information is presented in a timely, transparent, and truthful way to consumers of live-event tickets and short-term lodging, two industries whose pricing practices the Commission has studied in particular. Consumers searching for hotels or vacation rentals or seats at a show or sporting event will no longer be surprised by a pile of “resort,” “convenience,” or “service” fees inflating the advertised price. By requiring up-front disclosure of total price including fees, the rule will make comparison shopping easier, resulting in savings for consumers and leveling the competitive playing field." FTC, Press Release. December 17, 2024
The aim of this rule is to force companies and sellers of these goods to be more transparent.
Recent cases[edit | edit source]
- FTC Sends More Than $1.1 Million in Refunds to Consumers Deceived by Bait-and-Switch Ads for LASIK Vision Correction Procedures.[5]
See also[edit | edit source]
References[edit | edit source]
- ↑ "bait-and-switch". Cambridge Dictionary. Retrieved 14 Apr 2025.
{{cite web}}: CS1 maint: url-status (link) - ↑ "Penalty Offenses Concerning Bait & Switch". FTC. Retrieved 14 Apr 2025.
{{cite web}}: CS1 maint: url-status (link) - ↑ "SYNOPSIS OF FEDERAL TRADE COMMISSION DECISIONS CONCERNING "BAIT AND SWITCH" SALES PRACTICES" (PDF). FTC. Retrieved 14 Apr 2025.
{{cite web}}: CS1 maint: url-status (link) - ↑ "Federal Trade Commission Announces Bipartisan Rule Banning Junk Ticket and Hotel Fees". FTC. 17 Dec 2024. Retrieved 14 Apr 2025.
{{cite web}}: CS1 maint: url-status (link) - ↑ "FTC Sends More Than $1.1 Million in Refunds to Consumers Deceived by Bait-and-Switch Ads for LASIK Vision Correction Procedures". FTC. 3 Oct 2024. Retrieved 14 Apr 2025.
{{cite web}}: CS1 maint: url-status (link)