An Extermination Company Promised Customers Who Had Their Houses Treated

Multiple Choice

An extermination company promised customers who had their houses treated for termites that they had a life-time guarantee for free re-treatment if they paid a small fixed annual fee. The company lost money on the guarantee and so it raised the fee. If the FTC sued the company, it would claim the practice was:

A) unfair and deceptive
B) deceptive only
C) unfair only
D) a violation of the Cooling-Off Rule
E) none of the other choices