Mis-Selling Definition FCA considers any product that has been mis-sold a mis-sold product. If your company is offering any products that have been mis-sold by your vendor then you should contact the Federal Attorney’s Association, or FA as a member, or seek their help. You may be a victim of a deceptive practice. Contact an attorney to file a complaint.
Fair Trading Commission, or FTC, defines mis-selling as any misrepresentation of material fact, even a mis-sale, for the purpose of dishonestly inducing a sale. But what is mis-selling and how does it happen? What are the consequences of mis-selling? This article will highlight some of the definitions and consequences related to mis-selling by the FCA.
What happens next? You will need to find out who is liable for mis-sold goods. If you are a vendor for other companies then they should be liable for the mis-selling. If you are a wholesaler you may be held liable as well.
Common Consequences If you are a business owner or if you are a manufacturer then you could be held liable for fraud. Product not sold as described could lead to product failure, and in turn, lost profits for the business owner or manufacturer. Also, when a consumer purchases a product and is not satisfied, that consumer may sue the seller for fraud. The seller must prove that the loss was a result of the seller’s negligence. A court decision may determine the scope of the case.
Additional Consequences For the consumer, mis-selling may result in monetary losses. If the seller can prove that the loss was a result of mis-selling, then the court may award monetary damages. The court may also hold the seller responsible for the care and maintenance of the product that was mis-sold. Again, a court decision will determine the scope of this definition.
Another mis-selling definition covers the shipping and delivery of the product. If a product is shipped to the wrong address, it may cause a customer to send back the product. If the wrong address is supplied to the customer, the product may never enter the customer’s hands. In this example, the seller may be held liable. Again, the definition of this element may vary from one place to another.
An example may illustrate the variations of the mis-selling definition across different courts. If you purchased a car from a local vendor, the Mis-Selling Definition may hold you liable for selling the car at a higher price than you established as the selling price. A court decision may hold that you are liable for mis-selling if you did not provide adequate documentation to support your claims that the car is significantly higher than what you bought it at. The mis-selling definition also covers situations where the seller overstated the selling price to make it appear to the customer that the item is less expensive than what the item actually is. If you are in doubt about whether or not you should be held liable, hire a professional attorney to help you.
Because mis-selling has such a wide definition in the real world, you must be very careful when considering any mis-selling definition. Shop around to find a strong statutory or common law basis for your claim. You should also hire an attorney who has experience with these cases. The more information you can gather pertaining to the specific elements of mis-selling, the better prepared you will be to fight it in court. Remember, mis-selling claims are very powerful weapons in the legal armamentarium of anyone who is affected by a defective product.