Contents of Section

Chapter:

362 PDFTitle:Trade Descriptions OrdinanceGazette Number:E.R. 2 of 2012
Section:13CHeading:False or misleading representation as regards seller¡¦s connection with another personVersion Date:02/08/2012


(1) Any person who, in the course of any trade, business or profession, makes a false representation to any other person that a particular seller (whether or not the seller is the person who makes the representation) who sells any goods in the course of any trade or business is connected with or endorsed by any individual or body commits an offence.
(2) Any person who¡X

    (a) in connection with¡X
        (i) the supply or possible supply of any goods in the course of any trade or business; or
        (ii) the promotion of the supply of any goods in the course of any trade or business,
    makes a representation to any other person (information recipient) that the seller who supplies the goods is connected with or endorsed by any individual or body (subject individual or body);
    (b) ought reasonably to expect that the information recipient is likely to mistake the subject individual or body for another individual or body who or which is widely known to be of good standing and reputation (reputable individual or body) because the name of the subject individual or body is identical with, or very similar to, that of the reputable individual or body; and
    (c) fails, where the seller is not connected with or endorsed by the reputable individual or body, to take reasonable steps to prevent the information recipient from believing that the seller is connected with or endorsed by the reputable individual or body,
    commits an offence.
(3) For the purposes of subsections (1) and (2)¡X
    (a) a representation that a seller is connected with an individual or body is made if it is suggested that¡X
        (i) the individual or body has a proprietary interest (whether as the proprietor, a shareholder, a partner or otherwise) in the seller;
        (ii) the individual or body is in any form of close business association with the seller; or
        (iii) the seller is the agent or principal of the individual or body;
    (b) a representation that a seller is connected with a body is made if it is suggested that the seller and the body are owned by, or under the control of, the same person;
    (c) a representation that a seller is endorsed by an individual or body is made if it is suggested that¡X
        (i) the individual or body makes a positive evaluation specifically of the seller; or
        (ii) the seller has the permission, authorization or consent of the individual or body without which the seller would not be able to sell the goods concerned lawfully.
(4) It is a defence for a person charged under subsection (1) to prove that he did not know and had no reason to believe that the representation was false.
(5) It is a defence for a person charged under subsection (2) to prove that he believed, on reasonable grounds, that the information recipient did not mistake the subject individual or body for the reputable individual or body.
(Part 2A added 19 of 2008 s. 7)