In Puterbaugh v. Kars4Kids, LLC, (CA Super. Ct., May 8, 2026), a California state trial court held that Kars4Kids violated California's Unfair Competition Law and its False Advertising Law through "inherently deceptive" omissions in its ads. The organization runs short repetitive television and radio ads featuring young children playing musical instruments and asking for donations of used cars. The ads make no mention of the actual recipients of funds from the organization or of the organization's religious affiliation. The organization's website says: "Because kids are our future. Learn how you can make a difference in the life of a child." The broadcast ads do not make this statement.
The primary function of Kars4Kids is to fund Oorah, an organization that operates Jewish heritage and summer camps in New York and New Jersey. Oorah also funds matchmaking programs for young adults and gap- year trips to Israel for 17- and 18-year-olds. The court said in part:
2. The Court finds that the First Amendment does not shield the Defendant. While charities have free speech rights, the government may regulate misleading commercial speech. Fraudulent omissions in an inducement to donate property are not protected by “free expression.”...
6. The name “Kars4Kids,” the 8-10-year-old actors in the advertisement, and the repetitive jingle all serve to reinforce the belief that donations are used exclusively for the benefit of children.
7. Under cross-examination, the COO, Esti Landau, admitted that the organization’s primary purpose is to help “Jewish kids and families throughout their lives.”...
The Court finds that the Defendant disseminated public statements concerning... vehicle donations that were misleading by omission. Under the statutory “knew or should have known” standard, the Defendant is charged with the knowledge that California donors would reasonably assume their contributions benefit a general class of children, including those within their own state. The Court finds that the Defendant’s stated intent to make the advertisement “memorable” through extreme repetition, while simultaneously stripping it of all substantive facts, constitutes an actionable strategy of deception....
The Court finds the Kars4Kids “jingle” creates a false sense of a universal, secular, and local charity. The “Kars4Kids” name, when coupled with an advertisement that “does not mention anything” about its specific mission ... is likely to deceive the public. It improperly narrows the perceived beneficiary class to “kids” to elicit emotional and financial responses, while diverting funds to a much broader religious and familial social-service network....
The court ordered Kars4Kids to end all non-compliant broadcasting in California within 30 days. Inside Radio reports on the decision.