OFT takes court action against the Officers Club
Menswear retailer in dispute over’70 per cent off’ ads
March 2 2004
Menswear retailer the Officers Club is facing government action over what the Office of Fair Trading says is misleading advertising.
The dispute hinges over the retailer’s use of ’70 per cent off’ ads on lines it always sells at the same low prices.
The OFT has issued court proceedings against the Officers Club Limited to stop the ads. A High Court action under the under the Enterprise Act 2002 and the Control of Misleading Advertisements Regulations 1988 has been bought against the retailer and director David Charlton.
The OFT believes the ads create the misleading impression that the company is offering a reduction from genuine previous prices. It argues the clothesre are offered at the company’s normal selling price and that the alleged higher prices “have been devised solely to give the appearance of a reduction”.
The Officers Club has argued that the advertisements are not misleading and has refused to give undertakings not to continue the campaign.
The OFT has referred the matter to the courts, with the Officers Club indicating that it intends to defend the proceedings. No court date has yet been set.
John Vickers, OFT chairman, said: “Price cuts are an important competitive strategy and good for consumers. But traders should not mislead consumers by advertisements that imply the prices on offer are cut from genuine higher prices when in reality they are not.”
The Officers Club has around 200 stores in the UK.
