By all accounts, and as predicated by multiple news outlets earlier this month, COVID-19 may have a substantial and chilling effect on advertising. Adweek, for example, wrote an article in early March predicting how the coronavirus would disrupt the global advertising industry, not merely by major events being cancelled but also by a potential decrease
FTC Seeks Comment on Endorsement Guides
Earlier this month, the Federal Trade Commission (FTC) announced that it had voted to seek public comment on its Guides Concerning the Use of Endorsements and Testimonials in Advertising. The FTC explains that the Endorsement Guides (as they are frequently called) provide guidance to ensure that endorsements and testimonials in advertising follow Section 5
Leap Year Advertising
Every four years, we celebrate Leap Year with questions of how we’ll spend our extra “free hours” and hopes of finding brands offering special deals. Many restaurants offer free food to those born on February 29, and retailers may offer specific Leap Year discounts (such as 29 cent deals).
The day thus serves as another
FTC Reports Consumers Lose $201 Million to Romance Scams in 2019
Earlier this month, the FTC revealed that consumers have lost over $200 million to “romance scams” in 2019, which is up nearly 40% since 2018, and is six times higher than it was five years ago. As the FTC detailed in its blog post, “[p]eople reported losing more money to romance scams in the past
Don’t Forget to Consider the Right of Publicity!
With the continued growth of social media and companies seeking to expand their online presence, companies are reminded to keep right of publicity considerations at the forefront of all promotional decisions. As discussed in a prior blog post, the right of publicity prevents the unauthorized commercial use of an individual’s name, likeness, or other
Is Super Bowl Advertising Worth It?
This is one we wonder year after year. The International Business Times reports that a 30-second ad for this year’s Super Bowl will run you $5.6 million (a $400,000 increase from last year), and that some companies opt for even longer spots. How do companies evaluate their return on investment at that price point? That’s
CA Cannabis Retailers to Post QR Codes
California’s Bureau of Cannabis Control has proposed emergency regulations requiring cannabis retailers to display their QR code certificate outside their storefronts and to require cannabis distributors and retail delivery drivers to carry the certificate when transporting cannabis. These regulations are designed to allow consumers to confirm that retailers have a legitimate cannabis business license by
Does AI Infringe? Do You?
Artificial Intelligence, commonly referred to as AI, is increasingly being used to perform tasks previously only capable of being done by humans. For example, some companies are pioneering automated journalism, allowing smart software to analyze data, match relevant phrases in a story template and put together a narrative that can be published. AI is
FTC Finalizes Sending Refund Checks to Consumers Allegedly Deceived by Subscription Snack Service
The Federal Trade Commission (“FTC”) recently sent out settlement checks to consumers who were allegedly deceived by UrthBox, Inc. (See https://www.ftc.gov/news-events/press-releases/2019/12/ftc-sending-refund-checks-consumers-allegedly-misled-free-trial.) While the settlement, $100,000, and the amount refunded, around $84,000, were not very high, the case is interesting as it reinforces the need for companies who offer online subscription services or that
SEC’s Advertising Changes for Investment Advisers
Last month, the Securities and Exchange Commission (SEC) issued a press release describing its proposed changes to the Investment Advisers Act of 1940. The Act contains various advertising and cash solicitation rules for investment advisers when soliciting clients and investors, which the SEC is proposing to modernize.
According to the SEC, the proposed changes are