La. Admin. Code tit. 16, § III-313 - Comparison to Competitor's Price
A. It is a deceptive act or practice for a
seller to compare the seller's price with a price currently being offered by
another seller for merchandise unless the merchandise is comparable merchandise
and the comparative price is at or below the price at which the comparable
merchandise is currently being offered in the seller's trade area by a
reasonable number of other sellers in the same trade area, or another
identifiable seller.
B.
1. If you compare your prices with those of
the competition, you must either:
a. identify
the specific competitor in your ad; or
b. be able to show that a reasonable number
of area competitors are offering the product at the advertised comparison
price.
2. In addition,
in either case the product must be of comparable quality, grade, material, and
craftsmanship. Private label and generic brand items are generally not
considered comparable to name brand items. Therefore, if you make a price
comparison between a private label or generic brand item and name brand item,
you must make it clear that the comparison is between name brand and non-name
brand items.
Example:
|
Slacks $21.99 |
Compare at $29.99 |
3.
This ad is okay if the slacks are comparable in quality, grade, material and
craftsmanship, and a reasonable number of area sellers charge a least $29.99.
Otherwise, this ad is deceptive.
Example:
|
House Brand Suits $99 |
Equal to $159 Name Brand Suits Sold Elsewhere |
4.
a. This ad complies with the rule if the
suits are comparable and if a reasonable number of sellers charge at least $159
for the name brand suits. Of course, in a real ad, the advertiser would use the
name of its particular house brand as well as the actual brand names sold
elsewhere.
Example:
|
Our Price $69 |
Compare at Jones Hardware, $99 |
b.
Products must be comparable but only Jones Hardware needs to currently be
charging $99.
Notes
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