False advertising by Huang Yu-ching Beauty Salon in violation of the Fair Trade Law
Case:
False advertising by Huang Yu-ching Beauty Salon in violation of the Fair Trade Law
Key Words:
Flushing-out of toxins, misleading
Reference:
Fair Trade Commission Decision of March 22, 2000 (the 436th Commissioners' Meeting); Disposition (88) Kung Ch'u Tzu No. 37
Industry:
Barbershop and Beauty Industry (8991)
Relevant Laws:
Summary:
1. According to a letter received from the Department of Health, Huang Yu-ching Beauty Salon's published advertisements in the February 1999 issue of Ch'uan Lien TV Life Monthly containing the text describing "flushes toxins" and "breast-enlarging lymph flow instrument." These presentations are clearly defined in the Guidelines for the Slimming and Beauty Industry as exaggerated, misleading, and false presentations. Huang Yu-ching Beauty Salon (the respondent) testified that "flushes toxins" referred to the application of massage and pressure to acupuncture points. This therapy allegedly help blood and lymph cycles and flushes waste and toxins from the body more quickly. The Respondent further testified that the "breast-enlarging lymph flow instrument" is a beautician's instrument. 2. The Fair Trade Commission (the Commission) investigated and found that the respondent, who had not applied for a for-profit business license, was a person who engages in trade through the provision of goods or services pursuant to Article 2(4) of the Fair Trade Law (the Law). Therefore the respondent subject in this case was Huang Yu-ching. The Commission further found that the text of the controversial advertisement read that "flush toxins through stimulation of acupuncture points to stimulate breast development" and "breast-enlarging lymph flow instrument." These claims, according to what the Department of Health has determined, constitute presentations of exaggerated, misleading, and false nature. The Commission further found that the prevailing view of the system of meridians [passages through which vital energy flows in traditional Chinese medicine] is a complex system. Treatment of this system through medical or massage therapies is generally held to require professional training over a con siderable length of time. The respondent's training therein however consisted of only a one-day class. Moreover, the beautician employed by the respondent had no training whatsoever in traditional Chinese acupuncture. Given this lack of in-depth and complete training, the Commission doubts that the Respondent's services had the claimed effect. Finally, the Commission found that the "breast-enlarging lymph flow instrument" was likely to mislead consumers into believing that the use of this instrument would enlarge the breasts of the user. The respondent was unable to produce a scientific basis for this effect. 3. In sum: the Department of Health has determined the presentations "flushes toxins" and "breast-enlarging lymph flow instrument" in the controversial advertisement to be exaggerated, misleading, and false. Viewed as a whole, the controversial advertisement is misleading in that it causes consumers to believe that by undergoing the advertised treatments and services they can flush toxins and enlarge their breasts despite the lack of any scientific basis for these effects. The Commission therefore deemed that the respondent violated Article 21(3) of the Law by making false and misleading presentations in its advertisements where Article 21(1) of the Law applies mutatis mutandis. After considering the motivation of this illegal act, the degree of the threat to market order, the circumstances of the violation, and post facto rectification, the Commission ordered the Respondent to cease immediately the above false and misleading presentations and imposed an administrative fine of NT$50 thousand pursuan t to the fore part of Article 41 of the Law Appendix: Huang Yu-ching Beauty Salon's Uniform Invoice Number: Q221258431 Summarized by Lee Wan-chun; Supervised by Chu Wey-jing