National Advertising Division Declares AT&T in Violation of Procedures

"AT&T is striking back with a new advertising campaign featuring Luke Wilson that underscores a simple truth: trust is earned through action. The campaign calls out the litany of misleading and deceiving claims in T-Mobile's marketing. The Better Business Bureau's advertising watchdog asked T-Mobile to correct their marketing claims 16 times over the last four years. That's more than each of the entire consumer electronics and financial services industries."

"The procedures in question say that NARB participants - like AT&T - agree "not to mischaracterize any decision, abstract, or press release issued or use and/or disseminate such decision, abstract or press release for advertising and/or promotional purposes." The NAD says AT&T violated this procedure when the company issued a press release and ad stating that T-Mobile has had multiple NAD judgments against their advertising."

"NAD said AT&T's violation of its procedures and AT&T's use of NAD's decisions in their ad and press release "undermines NAD's mission to promote truth and accuracy of advertising claims and foster consumer trust in the marketplace." Telecompetitor contacted AT&T for a comment. AT&T Chief Operating Officer Jeff McElfresh said, "Some companies mislead customers; others stand up for them. AT&T thinks all consumers deserve to hear the truth, even if it makes T-Mobile uncomfortable." McElfresh did not address the NAD ruling."

The National Advertising Division (NAD) found that AT&T violated Section 2.1(I) of NAD/NARB procedures by using NAD decisions in a press release and advertising. NAD ordered AT&T to immediately remove the materials and cease all future dissemination. The procedures prohibit mischaracterizing or using NAD decisions, abstracts, or press releases for advertising or promotional purposes. AT&T's campaign accused T-Mobile of multiple NAD corrections over four years and cited BBB watchdog counts. NAD said AT&T's use of decisions undermines NAD's mission to promote truthful advertising and consumer trust. AT&T's COO reiterated a consumer-truth message but did not address the ruling.

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