A false story has circulated for several years on the Internet about the chickens used by a popular national fried chicken chain. It claims that the chickens used by the company have been genetically modified to have no heads, beaks, or feet and are kept alive with feeding tubes. This is an example of:

The correct answer is "an urban legend".

Explanation:

Urban legends, also known as urban myths, are false stories that circulate as true stories among people and usually have an humorous or horrific tone. One of the modern ways urban legends circulate is on internet by the use of social media. The supposedly use of genetically modified chicken by a popular national fried chicken chain is an example of urban legend. Other examples include alligators living in the sewers, watermelons growing on stomachs, among many others.