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Kobo fulfills overdrive borrows from books they (Kobo) have the rights to distribute. Thus if they don’t have the rights they can’t distribute the book. Which should come as no surprise as anyone distributing goods they don’t have the rights to distribute will likely face legal action. Especially when there’s literally an electronic trail for any prosecutor for (in this case) a publisher) to follow.
As to false advertising, no. You can borrow books via overdrive. You can borrow a rather staggering amount of books. So many that you’d be hard pressed to find a judge who’d accept even a misleading or deceptive claim from the advertising.
And of course you can still borrow the book from overdrive via a computer and side load it to your Kobo. Even if you only have a tablet you can find a way to get the book on your Kobo. Yes it’ll be harder without a computer, but it can be done.
Could Kobo have worked out something with Overdrive where OD would distribute the book? Possibly. But I’d be surprised if anyone posting here would have knowledge of the reasons they didn’t or couldn’t have that happen. Aside from your favorite one, that it’d be a hardship on both companies to the point they judged it not worth doing.
It’s worth pointing out that since the integration of Overdrive on Kobo several years back there have only been a handful of people here who have found books they legitimately wanted to borrow which Kobo did not have. I believe they were non fiction and semi technical books though I’ll grant I may be misremembering on that.
I’m sure you searched the forum to try and substantiate the article’s claim so you probably came across whatever posts they’d have been mentioned in.
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