The Fair Trade Committee (FTC) fined FITEL, First International Telecom, a million NT dollars for deceptive description of its cell phone range in a series of newspaper advertisements under Article 21 paragraph 3 of the Fair Trade law in April.
First International Telecom claimed that the radiation rate of its cellular phones "is only 1% in comparison with others" in a series of newspaper advertisements, with the catchphrase "the only suitable cellular phones to set one's mind at ease and used in hospitals". FITEL also claimed that "the phones are half the price of other communication service providers". During the a meeting of the Fair Trade Committee on April 24,2008, the FTC determined that the advertisement was a false and misleading representation of the quality, content and price of FITEL's services which violated Article 21, paragraph 3, mutatis mutandis to paragraph 1 of the Fair Trade Law because no objective reports proofed the claims. In addition to ordering FITEL to immediately cease the aforementioned unlawful action, the FTC also imposed a fine of one million New Taiwan Dollars based up Article 41 of the Fair Trade Law.
In summary, FTC said that FITEL claimed in the advertisements that the phone is "the only suitable one for hospital use" and "the only assured communications system in the hospital" . According to related general research reports, for instance, the research report of the Committee of the communications of Executive Yuan: "Base Stations and Human Health Implications thereof", cell phones do not interfere with medical testing equipment when the distance between the antenna and medical equipment is a safe distance and the radio waves are within standard exposure limits. Therefore, the content of the advertisement was a false or misleading representation of the content and quality of the good described therein.
To avoid such an issue in the future, the advertising language could be changed to "hospital safe" or "hospital friendly". Alternatively, if the phones are indeed lower power "low power" or "improved hospital safety" could be used.
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