What law encourages citizens to press claims against vendors selling fraudulently?

The correct response is B, the False Claims Act, which encourages individuals to report and take legal action against vendors that engage in fraudulent behavior, particularly in relation to government contracts. This law, enacted during the Civil War, was designed to combat fraud by allowing private citizens who have knowledge of fraudulent claims to file lawsuits on behalf of the government. If successful, these whistleblowers can receive a portion of the recovered damages, thereby incentivizing them to come forward with information about fraudulent activities.

This framework strengthens the integrity of government spending and deters companies from committing fraud, as the possibility of being reported by vigilant citizens is a key motivator for ethical practices. The act also has a broader application, providing a mechanism for citizens to fight against a range of frauds connected to federal funds, which underscores its importance in protecting taxpayer interests.

The other laws mentioned have different focuses: the Consumer Protection Act generally addresses broader consumer rights and protections against unfair business practices; the Truth in Advertising Act deals with ensuring that advertisements are truthful and not misleading, targeting advertising practices specifically; and the Fraud Prevention Act may refer to various legislative measures aimed at preventing fraud but does not have the same targeted mechanism for citizen action as the False Claims Act.