Consumer Advocates v. Echostar Satellite Corp.

SUMMARY

This case was brought under the Consumers Legal Remedies Act (CLRA), the False Advertising Act, and the unfair competition law (UCL). The allegations are that defendants, who provide satellite television service, made the following false or misleading statements in their brochure: that the system provided “crystal clear digital video,” “CD-quality” audio, and an on-screen program guide which would allow a consumer to view the schedule “up to 7 days in advance,” and that 50 channels would be provided.

Under the CLRA, plaintiffs alleged that defendants violated Civil Code section 1770, subdivision (a)(5),(7), and (9), which concern representations that a good or service has characteristics that it does not have or is of a particular standard or quality when it is not, and advertisement of goods or services with intent not to sell them as advertised. The False Advertising Act claim was that the statements were “untrue or misleading, and which [were] known, or which by the exercise of reasonable care should be known, to be untrue or misleading. . . .” (Bus. & Prof. Code, § 17500.) The UCL claims were that the misrepresentations were unlawful in that they violated…