Ad Review Tip


Your BBB conducts an advertising review program throughout our 19 counties to work with businesses in achieving the highest ethical advertising standards through self-regulation. 


Last month we discussed the use of “Free” in advertisements, and in order for the offer to be “free” there must not be any conditions to obtain the offer. To continue educating you on our advertising review program, we are going to discuss Going out of Business Sales.


BBB Advertising Tip of the Month:

Did you know…

Going out of Business Sales must be permitted by the State of Texas.

·         Emergency or distress sales, including but not limited to bankruptcy, liquidation and going out of business sales should not be advertised unless the stated or implied reason is a fact, should be limited to a stated period of time, and should offer only such merchandise as is affected by the emergency.

o    The State of Texas issues Going out of Business permits to businesses for up to 120 days.

o    Every 30 days during the GOB the business must submit a detailed store inventory to the chief appraiser.

·         "Selling out," "closing out sale," and similar terms should not be used unless the concern so advertising is actually going out of business.

·         The unqualified term "liquidation sale" means that the advertiser's entire business is in the process of actually being liquidated prior to actual closing.

o    If liquidating the business should show what they are liquidating so consumers are not mislead to think the sale is a GOB.

·         Advertisers should conform with the requirements of applicable local, state and federal laws.

o    Texas Business and Commerce Code Chapter 17. Deceptive Trade Practices Subchapter F. Going Out of Business Sales (