Risky Ad-Ventures

The Simple Truth

Fortunately, it's fairly simple to stay out of trouble in this area: Don't lie and don't mislead customers. But what if you learn a competitor is disparaging your business or making misleading claims likely to siphon off your customers? You might want to notify the state attorney general's office. If that doesn't produce results, talk with an attorney experienced in this area. Often a letter from a lawyer is enough to get the other business to stop making false claims. If it isn't, you may be able to get a preliminary injunction that forces the other business to stop while the court sorts out the issues. The lesson here? Newfangled snake-oil salesmen should beware: The law is watching--and it bites back.

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This article was originally published in the February 2000 print edition of Entrepreneur with the headline: Risky Ad-Ventures.

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