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Giveaways serve as effective tools for influencers and celebrities to boost their visibility, engage with fans and expand their follower base. But for those following the recent giveaway that sparked mayhem in the streets of New York City (NYC), it is evident that preparation prior to live-event prize promotions is critical.

So, how did an innocent giveaway intended to show appreciation to fans trigger a level 4 disaster response from the New York Police Department (NYPD)?

A popular live-streamer with a collective social media following of over 20 million took to social media to announce he will be giving away free PlayStation 5 consoles, gift cards and other items in NYC’s Union Square Park at 4 p.m. on Aug. 5. By 1 p.m., crowds had already started gathering at Union Square Park. The NYPD soon became aware of the giveaway, but by 3 p.m., more than 2,000 individuals had already gathered at Union Square Park. Despite the efforts of roughly 1000 police officers, chaos nonetheless erupted. The ensuing chaos saw people climbing atop vehicles and subway stations, obstructing traffic, setting off fireworks and even engaging in violent behavior. The situation escalated further, culminating in clashes between attendees – many of whom were teenagers – and the NYPD. By 5:30 p.m., the event ended with injuries to police officers and civilians and resulted in dozens of arrests. The streamer was ultimately arrested and charged with felony first-degree rioting, as well as a misdemeanor for inciting a riot and unlawful assembly.

This incident serves as a stark reminder that orchestrating live-event prize promotions requires a comprehensive assessment of potential risks and the implementation of responsible planning and coordination with relevant authorities. If done carelessly, a giveaway’s sponsor can be subject to civil and criminal liability.…

Continue Reading Giveaway promotion oversight: What could possibly go wrong?

The International Alliance for Responsible Drinking (IARD), which represents major global alcohol producers, partnered with leading advertising, public relations and influencer agencies to sign an Influencer Pledge that sets standards and rules for influencers who market alcohol on social channels. The Pledge is meant to prevent influencer alcohol marketing from reaching minors and to encourage influencers to promote responsible drinking. In addition to the Pledge, the companies created a set of five safeguards applicable to influencers that work with alcohol brands.
Continue Reading Joint Commitment: Alcohol Producers and Major Agencies Create Standards for Influencer Alcohol Marketing

For those following the fallout from the Fyre Festival, the drama continues.  Last week, model and influencer Kendall Jenner settled a bankruptcy lawsuit for $90,000 relating to her promotion of the Festival.

To refresh your memory, Fyre Festival was planned for spring 2017, advertised as a music and culinary paradise held on a private island…

Join Jason Gordon on Wednesday, May 13, 2020, for a live webinar hosted by the FDLI and titled, “Influencers, Social Media Advertising, and Litigation Risks for Food and Dietary Supplement Companies.”

Food and dietary supplement companies are increasingly using influencers and social media to advertise their products. These marketing strategies are even…

The FTC recently settled with Teami, LLC (“Teami”), an indication that the Agency is still actively reviewing health claims and monitoring social media influencers for proper disclosures.  Teami allegedly brought in over $15 million through its deceptive marketing tactics, but given the company’s financial condition, the FTC agreed to partially suspend its $15.2 million judgment…

On Tuesday, the FTC released a set of guidelines for online influencers dictating when and how influencers must disclose sponsorships to their followers. The guidelines, available here, break down disclosure requirements and provide tips for influencers on how to avoid deceptive advertising.

In general, the guidelines largely reflect what the industry has gleaned from…

Please join us for a complimentary webinar hosted by the Association of National Advertisers on the current issues related to influencer marketing, for industry experts. Jason Gordon, partner in the Entertainment & Media Group at Reed Smith, and Jennifer MacDougall, VP, associate general counsel and assistant corporate secretary & ethics officer at Jack in the …

Social media influencers are constantly competing for likes, partnerships, and ways to differentiate themselves from others. A surefire way to distinguish oneself in the ever-growing sea of social influencers? Being a robot.

Computer generated social media influencers like Lil’ Miquela and Shudu have racked up millions of Instagram followers and likes and have secured several…

This month, online gaming social media influencers Trevor Martin and Thomas Cassell settled the Federal Trade Commission’s first charges against individual failure to disclose material information in social media endorsements. Martin and Cassell are both operators of YouTube channels with millions of subscribers in the online gaming community and owners and officers of CSGOLotto, Inc.,…