Mei Shih You Chih Home Moving Ltd. Co. published false advertisements on its Web site in violation of Fair Trade Law Article 21
Case:
Mei Shih You Chih Home Moving Ltd. Co. published false advertisements on its Web site in violation of Fair Trade Law Article 21
Key Words:
false and misleading advertisements, good home moving companies, Web pages
Reference:
Fair Trade Commission Decision of November 9, 2000 (the 470th Commissioners' Meeting); Disposition (89) Kung Chu Tzu No. 182
Industry:
Other Freight Services (6169)
Relevant Laws:
Article 21 of the Fair Trade Law
Summary:
1. Mei Shih You Chih Home Moving Ltd. Co. ("Mei Shih") published on its Website a falsified version of Ma Ma Tsuei Housing Service Association's ("the Association") "list of good home moving companies." In the list, Mei Shih displayed its own information and indicated a value of "0" for the number of complaints that had been filed against it. Mei Shih's conduct clearly constituted false publication and sufficed to cause consumers to mistakenly think they could link to the Association's Website by clicking on the Association's logo. By making use of and changing the list of "good home moving companies" recommended by the Association, Mei Shih intended to make use of the Association's social image to obtain illicit gain in violation of Article 21 of the Fair Trade Law.
2. After investigation, the Fair Trade Commission finds as follows: When Mei Shih published the Webpage content at issue on May 1, 2000, Mei Shih was not one of the "good home moving companies" recommended by the Association, and the Association's Website could not be linked to by clicking on the Association's logo displayed on Mei Shih's web site. Mei Shih acknowledged all the above points. Also, on September 5, 2000, Mei Shih corrected its Webpage content.
3. On its Webpage, Mei Shih displayed the Association's logo and misled consumers into thinking that by clicking on the logo, they could link to the Association's Website. In the list referred to above on its Webpage, Mei Shih displayed its own company information, and indicated a value of "0" for the number of complaints that had been filed against it. But there was not way to link from Mei Shih's Website to the Association's, and Mei Shih was not one of the Association's recommended "good home moving companies." Mei Shih acknowledged all these points. Therefore, its conduct constituted the making of false and misleading presentations. Its conduct sufficed to cause consumers to mistakenly think that it was one of the Assiciation's recommended "good home moving companies", and for that reason, to use its services. That conduct was in violation of Article 21(3) of the Fair Trade Law, which applies mutates mutandis under Article 21(1). Mei Shih's violations of Fair Trade Law were clear. After weighing Mei Shih's motives, the revenue gained, its cooperation with the investigation, evidence of its repentance, and the damage caused to the trading order, the Fair Trade Commission ordered Mei Shih to immediately cease the offending conduct and imposed an administrative fine of NT$50,000 pursuant to the forepart of Article 41 of the Fair Trade Law.
Appendix:
Mei Shih You Chih Home Movers Ltd. Co.'s Uniform
Invoice Number: 70641696
Summarized by Tai Mei-chin; Supervised by Chu Wey-jing