Kentucky’s Crackdown on Deceptive Advertising: A Guide for Consumers
Exploring the legal consequences for businesses that lure and mislead Kentucky shoppers
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In Kentucky, “bait and switch” practices are not only illegal but are treated as both a civil violation and a criminal offense. These deceptive tactics—where a business lures customers with an attractive offer (the “bait”) only to pressure them into buying a more expensive or inferior item (the “switch”)—are strictly regulated to ensure a fair marketplace.
The legal framework governing these practices is primarily found in the Kentucky Revised Statutes (KRS), specifically within consumer protection and penal codes.
The Kentucky Consumer Protection Act (KCPA)
The most common civil tool used against bait and switch tactics is the Kentucky Consumer Protection Act (KRS 367.170). This law broadly prohibits "unfair, false, misleading, or deceptive acts or practices in the conduct of any trade or commerce."
Under this Act, the Kentucky Attorney General’s Office of Consumer Protection has the authority to investigate businesses and file lawsuits in the public interest. If a business is found to have engaged in bait and switch, they may face:
Civil Penalties: Fines up to $2,000 per violation (or up to $10,000 if the victim is aged 60 or older).
Restitution: Orders to pay back the affected consumers.
Injunctive Relief: Legal orders forcing the company to cease its deceptive advertising immediately.
Criminal Liability under the Penal Code
Kentucky is unique in that it also classifies bait and switch as a crime. Under KRS 517.040, a person is guilty of "Bait Advertising" when they offer property or services to the public with the intent not to sell them at the offered price or in sufficient quantities to meet demand.
In the eyes of Kentucky criminal law, this is a Class A Misdemeanor. A conviction can lead to:
Up to 12 months in jail.
Fines of up to $500 for individuals or higher for corporations.
A permanent criminal record for the business owner or responsible party.
Administrative Regulations and Industry Specifics
Beyond general laws, specific industries have even stricter guidelines. For example, the Kentucky Motor Vehicle Commission enforces 605 KAR 1:191, which explicitly defines bait advertising for car dealerships. It prohibits dealers from advertising a vehicle at a price that excludes standard equipment or using an alluring offer just to "switch" the consumer to a more expensive model.
Private Right of Action
If you have personally lost money due to a bait and switch scheme, you do not have to wait for the government to act. The KCPA allows individual consumers to bring private lawsuits. If successful, you may be able to recover actual damages, and in some cases, the court may award punitive damages and attorney’s fees.
Information published to or by The Industry Leader will never constitute legal, financial or business advice of any kind, nor should it ever be misconstrued or relied on as such. For individualized support for yourself or your business, we strongly encourage you to seek appropriate counsel.
