Am I allowed to put into my advertising that our prices typically beat the competitors by 25%?

UPDATED: Sep 30, 2022

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Am I allowed to put into my advertising that our prices typically beat the competitors by 25%?

My plan is to specifically mention the competitors’ names.

Asked on December 8, 2015 under Business Law, California


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 6 years ago | Contributor

1) You can make claims in our ads that are true; getting too specific can cause a problem, since it makes it easier to disprove. E.g. if you write "generally beat competitor's prices," then so long you beat most competitors, you're ok even if you don't beat, say, Acme. But if you write "we beat Acme's prices!" and then Acme has a sale or special--or you just were wrong--then the ad is false, which is problematic and can result in liability.
2) You cannot use another business or person's trademarks. So if their name is trademarked--as many business names are--you can't mention it without their permission; if you do, you are violating their intellectual property.

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