Frank Fazio, a disgruntled iPhone 4S user from New York, recently filed a
federal class action lawsuit against Apple in California, alleging that the Siri
feature of the iPhone 4S does not work as advertised. For those of you who still
use pay phones, Siri is a virtual assistant that uses voice recognition to
answer questions and perform tasks that would otherwise require typing, such as
making calls, sending text messages, scheduling meetings, and getting
directions. Mr. Fazio alleges that he purchased an iPhone 4S in November 2011
based on representations made by Apple regarding the Siri feature but began
noticing problems right away. When he asked Siri for directions, for example,
"Siri either did not understand what [he] was asking or, after a very long wait
time, responded with the wrong answer. Apple has promoted the iPhone 4S in
several television and web-based ads showing Siri performing useful functions
for its users. In one such ad, a ubiquitous thirty-second spot entitled "Road
Trip," a young couple on a cross-country road trip is shown using Siri to help
navigate their journey, asking questions like: "What's the best way to Santa
Cruz, California?" "Where's the best barbecue in Kansas City?" and "Is there a
rodeo in Amarillo today?" In another commercial, "Rock God," Siri is depicted
facilitating a rock-obsessed teenage boy's transformation from musical neophyte
to lead guitarist in a garage band, responding along the way to verbal commands
like "How do I play 'London Calling?'", "Tell Julie and Kate that our band is
playing at the garage tonight", "Add Migraine Headaches to my list of band
names," and, ultimately, "Call me Rock God." In each of the ads, Siri is
depicted as "understanding" the user's speech and replying promptly with content
that is on point – e.g., "From Now On I Will Call You Rock God. OK?" False
Advertising Allegations According to Mr. Fazio, these ads and others like them
are misleading and deceptive because they show Siri performing tasks with ease
and without error. A user's real-world experience, he contends, is materially
different from that depicted in the ads. In his own case, Siri often did not
understand what Mr. Fazio was asking and took a long time to respond. Mr. Fazio
alleges that his experience with Siri is not unique and that Apple was aware of
Siri's alleged shortcomings when it began to market the iPhone 4S (as evidenced
by Apple's description of the product as "beta" on its website). He seeks to
represent a potentially massive class consisting of everyone in the United
States who has purchased an Apple iPhone 4S other than for re-sale. Assuming
that other Siri users are having the same issues as Mr. Fazio, could Apple
really be held liable for false advertising? It's possible, but it would likely
require a showing that the issues of which Mr. Fazio complains are not isolated
to particular users (e.g., those with heavy accents) or particularly challenging
tasks (e.g., "How do I play 'Ana Ng'"), but are widespread among users and
tasks. When is a Product Demonstration Misleading? The Federal Trade Commission
and National Advertising Division ("NAD"), a self-regulatory program
administered by the Better Business Bureau, have held that while a product
demonstration in advertising must be truthful and accurate, such demonstrations
are permissible provided that the demonstrations: (1) accurately reflect how the
advertised product works, (2) do not materially distort the characteristics of
the product, and (3) do not use undisclosed mock-ups or potentially embellishing
devices to create in the mind of the consumer attributes that the product does
not have. See, e.g., FTC v. Colgate-Palmolive Co., 380 U.S. 374 (1965),
International Home Foods, NAD Case Report No. 3487 (9/1/98). Challenges to
product demonstrations depicted in advertisements often turn on whether a
particular result depicted in the ad is achievable by a consumer in an
independent test. In an NAD case involving a much different product, the Hormel
Foods Corporation challenged commercials that referred to Dennison's chili as
"The Stand Up Chili" and depicted a fork standing up in a bowl of Dennison's
chili. International Home Foods, NAD Case Report No. 3487 (9/1/98). Hormel
alleged that Dennison's claims were misleading because "in every case attempted
by [Hormel], the fork toppled over, and failed to stand up." At both parties'
urging, NAD conducted its own tests and independently determined that a fork
does indeed stand up in Dennison's chili for the duration depicted in the
challenged commercials. Based on its own assessment, NAD found that Dennison's
claims were adequately substantiated. Does Mr. Fazio's False Advertising Claim
Stand Up to the Test?
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Laptop Stand Were Mr. Fazio's claim subject to the same standard, it may
well fail because achieving the same results depicted in the iPhone 4S
commercials noted above is not difficult to do. (Note: there is no rodeo in
Amarillo today, and Oklahoma Joe's BBQ & Catering is apparently has the best
barbecue in Kansas City.) However, Mr. Fazio's claims are brought under
California state law, so the general principles of false advertising law may
take a back seat to the particular elements of the unfair competition claims
under California law. Even under a less-stringent standard, however, Mr. Fazio
would have the burden of proving that Apple's demonstration of Siri was false or
misleading, and to do that, Mr. Fazio will likely have to come forward with
evidence that Siri fails to work as smoothly as depicted for a large number of
iPhone 4S users. Lessons for Advertisers It will be interesting to see whether
Mr. Fazio's case survives a motion to dismiss and, if so, what type of evidence
he marshals to prove his claims. In the meantime, advertisers should take heed
of the legal requirements for product demonstrations in advertisements. In a
nutshell, demonstrations must: (1) accurately reflect how the advertised product
works, (2) avoid distorting the characteristics of the product, and (3) refrain
from using potentially embellishing devices that suggest the product has
attributes that it does not in fact have. The content of this article is
intended to provide a general guide to the subject matter. Specialist advice
should be sought about your specific circumstances. Specific Questions relating
to this article should be addressed directly to the author.