Calif. High Court OKs Economic Loss False Ad Suits

Law360, New York (January 28, 2011, 3:25 PM EST) -- California's high court has ruled that consumers who purchase a product as a result of misleading advertising can sue the manufacturer, despite a recent ballot proposition that limited standing under the state's unfair competition and false advertising laws.

In a 5-2 decision, the California Supreme Court on Thursday revived a lawsuit against Kwikset Corp. over the company's “Made in U.S.A.” labeling of lock sets that contain foreign-made parts or involved foreign manufacture, ruling that plaintiffs who allege they were deceived by a product's label into spending...
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