LUKOIL AND TŪTA FINED FOR MISLEADING ADVERTISING

On 25 March 2013, the Competition Council of the Republic of Lithuania (Konkurencijos taryba, KT) imposed a fine of LTL 20,000 on UABLukoil Baltija (“Lukoil Baltija“) and a fine of 1,000 LTL on UAB Tūta (“Tūta”) for misleading advertising.

The KT initiated the investigation after receiving a consumer’s complaint, claiming that the Sabonis 220 advertising campaign which had been running in LUKOIL petrol stations was misleading, because the consumer could not purchase one of the advertised products despite meeting all the campaign’s conditions.

Having conducted the investigation the KT determined that Lukoil Baltija and Tūta had been using various means (in the web sites and LUKOIL petrol stations) to advertise the Sabonis 220 campaign, according to which consumers purchasing petrol or other products in LUKOIL petrol stations for LTL 30 and more had been awarded stickers. Having collected 15 stickers, consumers could obtain five different kinds of products for a special price. However, already in the partway of the campaign period one of the advertised products was not available for purchase. Having estimated the duration of the advertising campaign (approximately three months) as well as the fact that the collection of stickers could take a certain period of time, the KT noted that even though consumers had been informed about the limited number of products, they could have had a well-founded expectation that there would be enough of the products concerned and that there would be no shortage in the partway of the campaign period.

Having considered all factors, the KT maintained that the advertisement in question could have mislead consumers and determined their choice to purchase petrol, namely from LUKOIL petrol stations, as consumers were expecting to obtain a wanted product for a special price after meeting all the campaign requirements.

Notice

Misleading advertising means advertising which in any way, including its presentation, deceives or is likely to deceive the persons to whom it is addressed or whom it reaches and which, by reason of its deceptive nature, is likely to affect their economic behaviour or which, for those reasons, harms or is likely to harm another person’s capabilities to compete (Law on Advertising, Article 2(4).

Communication Division