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Ask a lawyer on the topic of Competition law

Is it allowed for a company to deliberately spread false rumors about its competitors in order to improve its own image?

Dear lawyer,

My name is Konrad Ehrig and I am the managing director of a medium-sized company that is in direct competition with some competitors. Lately, we have noticed that these competitors in the industry have a better image than we do, which of course also affects our sales. I am wondering if it is legally allowed to deliberately spread false rumors about my competitors in order to improve my own image.

Currently, we are in a difficult situation as we have already taken some measures to improve our image, but without the desired success. We have worked on marketing campaigns to highlight the advantages of our products, but still, the positive image of our competitors seems to remain untouched. Therefore, we are considering if there is a more effective way to present our company in a better light.

My concern is that spreading false rumors about our competitors could have legal consequences. I want to ensure that we are operating within the framework of competition law and not violating any laws. Therefore, I would like to know from you if it is legal to pursue this type of strategy, and if not, what other options there are to improve our image and successfully compete.

Thank you in advance for your support and advice.

Sincerely,
Konrad Ehrig

Georg Sauer

Dear Mr. Ehrig,

Thank you for your inquiry regarding improving the image of your company compared to your competitors. It is understandable that you are looking for effective strategies to succeed in a competitive environment. In regards to your question about whether it is legally permissible to deliberately spread false rumors about your competitors in order to improve your own image, I must unfortunately inform you that this would not be in line with competition law.

Spreading false rumors about your competitors can be considered unfair competition and is therefore legally prohibited. Unfair competition aims to distort competition by using misleading or unfair practices. This includes spreading false claims about products or companies in order to portray oneself in a better light.

As the managing director of a medium-sized company, you should be aware that compliance with legal regulations in competition law is crucial. If you choose to engage in such questionable practices, you could risk legal consequences such as warnings, claims for damages, or even lawsuits.

However, there are legal and ethical ways to improve the image of your company and succeed in competition. For example, you could review and optimize your marketing strategies to better communicate the benefits of your products or services. You could also rely on customer reviews and recommendations to build trust and strengthen your image.

It is important that you assert yourself in the competitive environment in a fair and transparent manner and focus on your own strengths. If you continue to have difficulties improving your image, I recommend seeking advice from an experienced competition law attorney. Together, you can develop legal and effective strategies to position your company successfully.

I hope that my response has been helpful to you and I am available for any further questions.

Best regards,
Georg Sauer

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Georg Sauer