Commercial Law - False Advertising - Penalties
If passed, the legislation will amend the existing Article on Commercial Law, specifically targeting the penalties associated with false advertising. The intent behind the increase in fines is to provide a stronger disincentive for businesses and individuals who may attempt to mislead consumers through false claims. Supporters of the bill argue that this change is necessary to keep pace with current inflation and the growing importance of consumer rights in the marketplace.
House Bill 224, titled 'Commercial Law - False Advertising - Penalties', aims to strengthen the enforcement of regulations against false advertising in Maryland. The bill proposes to increase the maximum penalty for violating the prohibition against false advertising from $500 to $1,000 per incident. This change is intended to enhance consumer protection by making the enforcement of false advertising penalties more impactful and deterring unethical advertising practices.
While the bill does not yet appear to have faced significant opposition, potential concerns may arise regarding the implications for small businesses and advertising practices. Critics may suggest that increased penalties could disproportionately affect smaller enterprises that may inadvertently make misleading claims without malicious intent. Therefore, discussions around the bill may involve calls for education and support for businesses in advertising compliance, as well as considerations for penalties tailored to the scale of the business.
The enforcement of the new penalties will fall under the jurisdiction of the Maryland Attorney General, who will have the authority to recover these civil penalties on behalf of the state. The increased enforcement measures in the bill are aligned with broader efforts to bolster consumer protection laws and ensure that advertising standards maintain transparency and honesty.