Exam 44: Consumer Law

Kip opens an account at Lotsa Goodies, and buys a digital music player and other items, but makes no payments on the account. To collect the debt, a Lotsa Goodies representative contacts Kip's parents. This violates​

Pro Motor Company makes cars. Federal law requires Pro to attach a label that includes the Environmental Protection Agency's fuel economy estimate for a vehicle to​

Credit Loan Company extends credit in the ordinary course of its business. Under the Truth-in-Lending Act, The lender must inform potential borrowers of​

Soundbytes Corporation sells phones. Soundbytes's ad states that voice on its phones is "clear as blue sky on a cloudless day." The Federal Trade Commission would consider this claim​

In the ordinary course of business, Loan2Buy Corporation offers credit to consumers and reports on the loans to credit agencies. Loan2Buy generally does not correct or update its reported information. This is most likely to result in​

A consumer may be denied credit or insurance on the basis of his or her credit report, and need not be notified of that fact.​

Federal law governs the use of terms such as fresh on food labels.​

ChemCo, Inc., makes and sells products containing ingredients potentially hazardous to consumers. The government agency that has the authority to order ChemCo to remove a product from the market is​

A consumer who receives an unsolicited credit card can be charged by the company that issued the card for any unauthorized charges.​

Merchants must issue a refund within a specified period of time when a consumer cancels an order.​

Mac n' Cheese Company wants to make and market new processed pasta and sauce products. On each product's label, standard nutrition facts are​

Credit can be denied if a person receives a certain form of income.​