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Court finds Energy Watch engaged in misleading advertising

By  |  May 1, 2012

The Federal Court has found that Energy Watch had engaged in a misleading advertising campaign for its energy price comparison service. From January to September 2011, Energy Watch had run ads on television, radio, and print that claimed to compare the rates of all energy retailers in an area. In fact, the advertisements had merely compared the rates of one’s current energy retailer with Energy Watch’s preferred suppliers–those retailers with whom Energy Watch had commercial agreements. Moreover, Energy Watch misled customers on how much they would be saving by switching to those preferred suppliers. Each switch generated a commission for Energy Watch.

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    Related content: Regulation of Information and Advertising (Paul Rubin, Emory University)

     

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