Brownie Inc and Chewy Ltd Are Competitors in the Chocolate

Multiple Choice

Brownie Inc and Chewy Ltd are competitors in the chocolate bar market.Their "trade war" involves several facts.First,as part of a recent advertising campaign,Brownie claimed that claimed that its own products are calorie-free.Second,Brownie said that Chewy uses only third-rate materials in its products.Third,Brownie said that Chewy's products are proven to cause cancer.And fourth,Brownie occasionally packages its products in such a way as to make consumers believe that they are buying Chewy products.Which of the following statements is TRUE?

A) If Brownie's products are not calorie free,Brownie must be held criminally liable for misleading advertising.
B) As long as Chewy suffered a loss of sales and Brownie acted maliciously,Brownie may be held liable under the tort of injurious falsehood if it is false that Chewy uses only third rate materials in its products.
C) If Chewy's products do not cause cancer,Brownie may be held liable under the tort of deceit as long as it should have known that its statement was false.
D) Brownie may be held criminally liable for passing off if Brownie does occasionally package its products in such a way as to make consumers believe that they are buying Chewy products.
E) Neither company can be held liable for injurious falsehood unless it knew that it was committing a tort when it made a particular statement.