The U.S. Federal Trade Commission has alleged Exxon Corp. misled consumers by making unsubstantiated advertising claims for its gasoline.
The ads allegedly claimed that switching to Exxon gasolines generally-or to Exxon 93 Supreme specifically-will make engines cleaner and significantly reduce auto maintenance costs.
According to the FTC, Exxon failed to substantiate the claims. If FTC's charges are upheld after a trial before an administrative law judge, Exxon could be required to have scientific data to support future claims about its gasolines.
The case was the latest in a series challenging what the agency alleged were deceptive advertising claims for premium grade fuels. Amoco Oil Co., Sun Co., and Unocal Corp. previously settled FTC charges in connection with superiority claims for their high-octane gasolines.
Jodie Bernstein, FTC Bureau of Consumer Protection director, said, "In this case, consumers may be paying as much as 20¢/gal more for premium gasoline because of claims that it will make engines cleaner and cheaper to maintain.
"But we believe these claims are unsubstantiated. Federal regulations require that all gasolines at all octane levels contain sufficient detergent additives to keep engines clean. In these times of high gasoline prices, spending more money for high-octane fuel that your car doesn't need is just a way of picking your own pocket. In short, unless your engine is knocking, why buy a higher octane at a higher price than your car owner's manual recommends."
The FTC complaint alleged Exxon aired television and radio ads that promoted Exxon gasolines, including Exxon 93 Supreme. The ads included statements such as "Exxon gasoline keeps your engine cleaner-so it can help drive down maintenance costs" and "Exxon 93 Supreme-with the power to drive down maintenance costs. Gas that can save you money, for more reliable performance."
The complaint alleges in the advertising Exxon represented that consumers can significantly lower auto maintenance costs by switching to Exxon from other gasoline brands or switching to Exxon 93 Supreme from lower octane Exxon gasolines.
FTC claims Exxon did not have a reasonable basis for its claims.
Under the order the FTC is seeking, Exxon would be required to have scientific substantiation regarding engine performance, power, acceleration, or cleaning claims it makes for any gasoline in the future.
The commission voted 4-0 to issue the complaint, with Commissioner Roscoe Starek abstaining.
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