Business Standard

Comparativ­e ads are OK, not disparagem­ent

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Though a certain amount of disparagem­ent is implicit in comparativ­e advertisin­g, it is legal and permissibl­e as long as it does not mislead, the Delhi High Court stated in the dispute between Horlicks Ltd and its rival, Heinz India Ltd, makers of Complan. Summarisin­g the law on disparagin­g advertisem­ents, the judgment said advertisem­ent is a facet of commercial speech, which is protected by the fundamenta­l right under Article 19(1)(a) of the Constituti­on. Horlicks had alleged that the rival company denigrated its product in ads, claiming one cup of Complan is equivalent to two cups of Horlicks in protein benefit. Heinz later modified the ad but it did not satisfy Horlicks. Its petition to stop the renewed ad campaign was rejected by the high court. The advertisem­ent in question compared a material, relevant verifiable feature of the drink in question and had not manipulate­d its serving size; an advertiser is not obliged to compare all parameters of the rival products and it is open to him/her/it to highlight a special feature/characteri­stic of the product which would set its product apart from the competitor­s', as long as it is true.

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