A California judge has banned the nonprofit Kars4Kids from airing its television commercials in the state, ruling that the ads are deceptive for failing to disclose the organization's religious affiliation.
Ruling Details
Judge Gassia Apkarian declared the commercials misleading and unfair, noting that they omit details about Kars4Kids' connection to Oorah, an Orthodox Jewish organization based in New Jersey. The ads feature a catchy jingle urging viewers to donate cars, but do not mention the religious ties.
Kars4Kids' chief operating officer, Esti Landau, conceded that the nonprofit does not mention its religious affiliation in advertising, and donors would have to visit the website for more information. Apkarian found the ads misleading by omission, constituting false advertising and unfair competition.
Origin of the Case
The ruling stemmed from a civil suit filed by Bruce Puterbaugh, a California retiree who donated his non-working 2001 Volvo XC after hearing the jingle repeatedly. Puterbaugh believed his donation would help underprivileged children, but a neighbor informed him that Kars4Kids focuses on Jewish heritage and summer camps in New York and New Jersey.
Landau testified that about 25% of Kars4Kids' revenue comes from California, despite the organization having no physical presence there except for an annual backpack giveaway funded by small grants. Of the 120,000 vehicles donated annually, roughly 25% originate from California.
Legal Response
Puterbaugh's lawyers, Anthony Graham and Neal Roberts, expressed satisfaction with the ruling, stating it protects California donors from a deceptive campaign that led thousands to surrender property under false pretenses. They called the ads a fraudulent and deceptive campaign that has now been halted.
Kars4Kids' Defense
A Kars4Kids spokesperson disagreed with the decision, calling it deeply flawed and ignoring the facts. They asserted that it is well known they are a Jewish organization, with their website making it abundantly clear. The spokesperson emphasized that for 30 years, they have facilitated car donations to benefit children and families through their sister charity Oorah, helping thousands with mentoring and educational programs, including hundreds in California.
The organization plans to appeal the ruling, arguing that the case is a lawyer-driven attempt to siphon charitable funds. They believe the law and facts are on their side and expect to win on appeal.
