Which organization enforces truth-in-advertising laws in the United States?

Which organization enforces truth-in-advertising laws in the United States?

• A. Federal Trade Commission
• B. Consumer Product Safety Commission
• C. Securities and Exchange Commission
• D. National Advertising Division

Answer: (A)

Truth-in-advertising laws are enforced by the Federal Trade Commission. The FTC prosecutes deceptive or misleading ads under the FTC Act, ensuring that claims are truthful and substantiated with evidence. When advertisers make claims about products or services, the FTC can investigate and, if needed, require remedies such as cease-and-desist orders or corrective advertising to prevent consumer deception. The National Advertising Division is a self-regulatory body that reviews complaints and can issue recommendations, but it does not have legal enforcement power. The Consumer Product Safety Commission handles product safety and labeling for consumer goods, not the broader scope of advertising truthfulness. The Securities and Exchange Commission oversees advertising tied to securities and investments to protect investors, but it isn’t the general enforcer of truth-in-advertising across all industries.

Truth-in-advertising laws are enforced by the Federal Trade Commission. The FTC prosecutes deceptive or misleading ads under the FTC Act, ensuring that claims are truthful and substantiated with evidence. When advertisers make claims about products or services, the FTC can investigate and, if needed, require remedies such as cease-and-desist orders or corrective advertising to prevent consumer deception. The National Advertising Division is a self-regulatory body that reviews complaints and can issue recommendations, but it does not have legal enforcement power. The Consumer Product Safety Commission handles product safety and labeling for consumer goods, not the broader scope of advertising truthfulness. The Securities and Exchange Commission oversees advertising tied to securities and investments to protect investors, but it isn’t the general enforcer of truth-in-advertising across all industries.