How does the FTC define a deceptive practice?

The Federal Trade Commission (FTC) defines a deceptive practice primarily as one that involves providing false statements and failing to honor claims made to consumers. This means if a company publicly advertises certain features, benefits, or qualities of a product but does not deliver on those promises, it is engaging in deceptive marketing practices. The essence of deceit here lies in misleading consumers about what they can expect from a product or service, which undermines the trust necessary for fair commerce.

In this context, the other options represent practices that may be unethical or could lead to consumer dissatisfaction but do not fully encapsulate the FTC's straightforward definition of deception regarding directly misleading statements and unkept promises. For instance, failing to notify customers about data breaches pertains more to transparency and compliance, which is crucial but not classified directly as deception according to the FTC. Making vague claims about product effectiveness can be problematic, but unless those claims are accompanied by out-and-out falsehoods or broken promises, they do not meet the strict criteria for deception. Omitting important information can certainly mislead consumers, but a well-defined case of deceptive practices focuses more on the clear provision of falsehoods and unfulfilled assurances.