Criminal Penalties For False or Misleading Advertisements

NRS 207.175 – Criminal Penalties Associated with False or Misleading Advertisements

It is both a criminal act and civil infraction in the State of Nevada under NRS 207.171 for a person or organization to distribute or disseminate false or misleading advertisement with the intention of inducing a person to engage in a transaction, whether that be causing a person to sell, purchase, lease, or in any other way dispose of or acquire an interest in any property.

Anyone convicted of the crime of false or misleading advertising is liable both civilly and criminally. Civil cases are different than criminal cases. If you lose a civil case you will likely have to pay money to the other person or group suing you. If you lose a criminal case you will be required to pay a fine or even face jail time. The burden of proof is different in civil and criminal cases as well. In criminal cases, you must be shown to have committed the crime in question “beyond a reasonable doubt” while in civil cases it only must be shown that you committed the crime in question based on a “preponderance of the evidence”. It is much more difficult to prove a case “beyond a reasonable doubt” than it is to prove a case based on a “preponderance of the evidence”. It is generally understood that in numerical terms, to convict someone “beyond a reasonable doubt” the jury must be 99% sure that the person did it. Meanwhile, to find someone guilty based on a “preponderance of the evidence” the jury must be 51% sure that the person did it.

NRS 207.175 explains the criminal penalties that a person or organization convicted of false advertising will face.

Criminal Penalty for False Advertising

A criminal violation of Nevada’s false or misleading advertisement statute is either a misdemeanor or gross demeanor depending on certain circumstances.

If it is you or your organization’s first conviction of false or misleading advertising, the crime is considered a misdemeanor. A misdemeanor conviction can result in the following punishment:

• A fine of up to $1,000
• Up to six months in jai
• Both

If it is you or your organization’s third or more conviction of false of misleading advertising, the crime is considered a gross misdemeanor. A gross misdemeanor conviction can result in the following punishment:

• A fine of up to $2,000
• Up to 364 days in jail
• Both

Nevada has a public interest in protecting consumers from deceptive business practices. Given the ubiquitous nature of advertising in society, some people or organizations may attempt to regularly advertise in a false or misleading manner. To combat this, Nevada law increases punishment for repeat offenders of the false or misleading advertisement statute. Because of this, it is important that you have a zealous legal defense for any charges of false or misleading advertisement.