The Control of Misleading Advertisements Regulations 1988

JurisdictionUK Non-devolved
CitationSI 1988 Draft
Year1988

Draft Regulations laid before Parliament under section 2(2) of and paragraph 2(2) of Schedule 2 to the European Communities Act 1972 for approval by resolution of each House of Parliament

1988No.

CONSUMER PROTECTION

The Control of Misleading Advertisements Regulations 1988

1988

1stMay1988

Whereas the Secretary of State is a Minister designated ( a) for the purposes of section 2(2) of the European Communities Act 1972 ( b) in relation to measures relating to the control of advertising;

And whereas a draft of these Regulations has been approved by a resolution of each House of Parliament pursuant to section 2(2) of and paragraph 2(2) of Schedule 2 to that Act;

Now, therefore, the Secretary of State in exercise of the powers conferred on him by section 2(2) of that Act and of all other powers enabling him in that behalf hereby makes the following Regulations:

Citation and commencement

1. These Regulations may be cited as the Control of Misleading Advertisements Regulations 1988 and shall come into force on 1st May 1988.

Interpretation

2.-(1) In these Regulations-

"advertisement" means any form of representation which is made in connection with a trade, business, craft or profession in order to promote the supply or transfer of goods or services, immovable property, rights or obligations;

"broadcast advertisement" means any advertisement included or proposed to be included in any programme or teletext transmission broadcast by the IBA and includes any advertisement included or proposed to be included in a licensed service by the reception and immediate re-transmission of broadcasts made by the IBA;

"Cable Authority" means the authority mentioned in section 1(1) of the Cable and Broadcasting Act 1984 ( c) ;

"court" , in relation to England and Wales and Northern Ireland, means the High Court, and, in relation to Scotland, the Court of Session;

"Director" means the Director General of Fair Trading;

"IBA" means the Independent Broadcasting Authority mentioned in section 1(1) of the Broadcasting Act 1981 ( d) ;

"licensable service" has the meaning given by section 2(2) of the Cable and Broadcasting Act 1984;

"licensed service" means a licensable service in respect of which the Cable Authority has granted a licence pursuant to section 4 of the Cable and Broadcasting Act 1984;

(a) S.I. 1985/749.

(b) 1972 c.68.

(c) 1984 c.46.

(d) 1981 c.68.

"publication" in relation to an advertisement means the dissemination of that advertisement whether to an individual person or a number of persons and whether orally or in writing or in any other way whatsoever, and "publish" shall be construed accordingly.

(2) For the purposes of these Regulations an advertisement is misleading if in any way, including its presentation, it deceives or is likely to deceive the persons to whom it is addressed or whom it reaches and if, by reason of its deceptive nature, it is likely to affect their economic behaviour or, for those reasons, injures or is likely to injure a competitor of the person whose interests the advertisement seeks to promote.

(3) In the application of these Regulations to Scotland for references to an injunction or an interlocutory injunction there shall be substituted references to an interdict or an interim interdict respectively.

Application

3.-(1) These Regulations do not apply to-

(a) the following advertisements issued or caused to be issued by or on behalf of an authorised person or appointed representative, that is to say-(i) investment advertisements; and(ii) any other advertisements in respect of investment business,

except where any such advertisements relate exclusively to any matter in relation to which the authorised person in question is an exempted person; and

(b) advertisements of a description referred to in section 58(1)(d) of the Financial Services Act 1986 ( a) , except where any such advertisements consist of or any part of the matters referred to in section 58(1)(d)(ii) of that Act as being required or permitted to be published by an approved exchange under Part V of that Act.

(2) In this regulation "appointed representative" , "approved exchange" , "authorised person" , "exempted person" , "investment advertisement" and "investment business" have the same meanings as in the Financial Services Act 1986.

Complaints to the Director

4.-(1) Subject to paragraphs (2) and (3) below, it shall be the duty of the Director to consider any complaint made to him that an advertisement is misleading, unless the complaint appears to the Director to be frivolous or vexatious.

(2) The Director shall not consider any complaint which these Regulations require or would require, leaving aside any question as to the frivolous or vexatious nature of the complaint, the IBA or the Cable Authority to consider.

(3) Before considering any complaint under paragraph (1) above the Director may require the person making the complaint to satisfy him that-

(a) there have been invoked in relation to the same or substantially the same complaint about the advertisement in question such established means of dealing with such complaints as the Director may consider appropriate, having regard to all the circumstances of the particular case;(b) a reasonable opportunity has been allowed for those means to deal with the complaint in question; and(c) those means have not dealt with the complaint adequately.

(4) In exercising the powers conferred on him by these Regulations the Director shall have regard to-

(a) all the interests involved and in particular the public interest; and(b) the desirability of encouraging the control, by self-regulatory bodies, of advertisements.

Applications to the Court by the Director

5.-(1) If, having considered a complaint about an advertisement pursuant to regulation 4(1) above, he considers that the advertisement is misleading, the Director may, if he thinks it appropriate to do so, bring...

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