[comp.dcom.telecom] Can AT&T "Attack" a Specific Carrier?

jet@karazm.math.uh.edu (J. Eric Townsend) (09/17/90)

In a propaganda class the other day, we were watching an episode of
Nightline.  It was full of Sprint's "Lighten up, AT&T" series of
adverts.

My question is this: Could AT&T, if it wanted, decide to attack
carrier X?  ie: "Carrier X says they give you better prices, but it's
not true.  AT&T is much cheaper."  Or are they somehow legally
required to say: "Some other carriers say they give you better prices,
but it's not true."?


J. Eric Townsend -- University of Houston Dept. of Mathematics (713) 749-2120
Internet: jet@uh.edu    Bitnet: jet@UHOU   Skate UNIX(r)


[Moderator's Note: Although most successful advertising consists of
positive statements about one's own products rather than negative
comments directed to one's competition, there is no law they cannot
advertise their competitor's shortcomings if they wish to do so,
naming those shortcomings specifically; libelous and slanderous
statements excluded, of course. Please note also the courts have ruled
there is a big difference between 'free speech' when citizens speak
it, and 'commercial speech'.  Some fine points of law might apply.
Inquire in misc.legal.  PAT]

PZ2@psuvm.psu.edu (David L. Phillips) (09/17/90)

In article <12225@accuvax.nwu.edu>, jet@karazm.math.uh.edu (J. Eric
Townsend) says:

>My question is this: Could AT&T, if it wanted, decide to attack
>carrier X?  ie: "Carrier X says they give you better prices, but it's
>not true.  AT&T is much cheaper."  Or are they somehow legally
>required to say: "Some other carriers say they give you better prices,
>but it's not true."?

As Pat pointed out, there is no reason AT&T can't name competitors, so
long as what they say about them is true.  In fact, AT&T IS making
specific comparisons with MCI.  ("Where's your big savings??")

mingo@uunet.uu.net (Charles Hawkins Mingo) (09/21/90)

The Moderator writes:

>[Moderator's Note: Although most successful advertising consists of
>positive statements about one's own products rather than negative
>comments directed to one's competition, there is no law they cannot
>advertise their competitor's shortcomings if they wish to do so,
>naming those shortcomings specifically; libelous and slanderous
>statements excluded, of course. 

Actually, making misleading claims about the competition is considered
"unfair competition" and is regulated by the Federal Trade Commission.

It's not necessary that your claim be false, and the burden of proving
truth is on the advertiser.  Hence the reluctance to make
generalizations about anything hard to document (such as line quality
or operator service).  Price is about the only thing they can easily
prove.

This sort of negative advertising is very common where generic goods
are being sold (such as Tylenol, Anacin, etc.), and there isn't much
to compare.  The FTC has been chasing those giys for years.


Charlie Mingo			Internet: mingo@well.sf.ca.us
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