Yeah, people have done this to some of the sites of my company.

If you search for one of my company's domain names, you get ads..all of which just have a title of our domain name... and claim to be us!!

In Google ads or offers anywhere, deception using the word "free" has been a long time problem.

I blogged about how something may be "free" but the "shipping and handling" charges were where the profit was in "Sometimes Deceptive-Misleading Websites Say 'FREE'".
http://www.brokerblogger.com/brokerblogger/2006/05/sometimes_decep.html

The "Free Trial" of vitamins situation in that same post was a perfect example of what the Federal Trade Commission calls "Prenotification Negative Option Plans".
http://www.ftc.gov/bcp/conline/pubs/products/negative.htm