What's Happening?
Connecticut's Department of Consumer Protection is proposing changes to modernize the state's business advertising regulations, which were originally adopted in the 1970s and 1980s. The proposed changes aim to bring these regulations into the digital age, including truth-in-advertising standards. The new regulations would require clear and conspicuous advertising, disclosure of all fees, charges, and costs, and set requirements for alternate methods of entry to game promotions. The changes are part of a broader effort to enhance consumer protections and transparency in pricing. The state legislature and Governor Ned Lamont have enacted a new law that prohibits businesses from advertising prices that do not include all fees and charges, effective July 1, 2026.
Why It's Important?
The proposed overhaul of Connecticut's advertising regulations is significant as it reflects the state's commitment to adapting consumer protection laws to the realities of the digital age. As digital advertising continues to grow, clear and transparent pricing becomes crucial for consumer trust and fair competition. The changes aim to prevent deceptive practices and ensure consumers have a clear understanding of the costs associated with goods and services. This move could set a precedent for other states to follow, potentially leading to nationwide changes in digital advertising standards. Businesses will need to adapt to these new regulations, which could impact their advertising strategies and pricing models.
What's Next?
The proposed changes will undergo a review process, including a legal review by the state attorney general's office to ensure they are legally sufficient and do not conflict with existing state laws. If approved, the revisions will be submitted to the Legislative Regulation Review Committee for consideration. The committee's approval is necessary for the changes to be enacted. Businesses in Connecticut will need to prepare for the new regulations, which could involve revising their advertising practices to comply with the updated standards. The changes may also prompt discussions among industry groups and stakeholders about the implications for digital advertising practices.
