Furthermore, the Act authorizes private actions to be brought to enforce this provision. Lana believes that Phoebe's practices amount to an unfair restraint on free trade (and her ability to compete), thus her action is covered under the statute.
Conclusion: Under section 52 of the TPA, Lana is entitled to sue Phoebe for damages as she has been involved in misleading and deceptive conduct which has caused Lana's business no good.
Question 3 (b)
Issue: Is Lana's threatened action likely to succeed?
Rule: Section 52 of the TPA provides that: (pg 291)
A corporation shall not, in trade or commerce, engage in conduct that is misleading or deceptive or is likely to mislead or deceive.
Application: By advertising that her gelati is the best in town and made with the best quality natural ingredients, Phoebe may be stretching the truth, but she probably has not violated Section 52 of the TPA. A statement must induce consumers to buy a product in error or deception. Stating the product is the best in town probably does not rise to the level as either, as it common marketing parlance not likely to have a significant on most consumers. The fact that Phoebe's ingredients arrive in a tin does not in...
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