Arizona, like many states, has a consumer fraud act to protect consumers. The Arizona Consumer Fraud Act, A.R.S. §§ 44-1521 to 44-1534, as amended (the “Act”) was passed in 1967 with the goal of promoting truthful business practices and to combat deceptive and fraudulent advertising in connections with the sale of merchandise.

Since then, the Act has been the subject of considerable litigation and appellate court opinions. In the electronic age in which we live, truthful advertising and fair business practices are critical to consumers who often buy goods manufactured in foreign countries from nameless faceless entities. Importantly, the Act expressly applies to real estate.

Meaning and Application of the Act

Like most statutes passed by the legislature, definitions are vitally important to the operation of the law. The Act defines important terms related to consumer transactions:

‘Advertisement’ includes the attempt by publication, dissemination, solicitation or circulation, oral or written, to induce directly or indirectly any person to enter into any obligation or acquire any title or interest in any merchandise.