The New York Senate recently passed a bill that is expected to give New York residents a 90-day grace period to redeem credit card rewards after their account is changed, canceled, closed, or terminated. The bill will address issues where a cardholder’s account is closed without notice for inactivity, default, or delinquency – in such … Continue Reading
Two recent actions involving sellers and marketers of cannabidiol (CBD) and cannabis prove the “wellness” industry is not always so chill. Clint Eastwood Sues CBD Companies over False Endorsements In the first action, Clint Eastwood filed two lawsuits in federal court in Los Angeles against CBD companies and marketers, claiming the companies promoted false news … Continue Reading
The FTC recently approved a final consent order against home product and kitchen ware company, Williams-Sonoma, Inc. Under the order (available here), Williams-Sonoma is required to pay $1 million to the FTC in connection with charges that it made false, misleading, or unsubstantiated “Made in USA” claims. The FTC first announced its compliant in March … Continue Reading
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 … Continue Reading
John Feldman and Jason Gordon published an article in Law360 this week titled, “Compliance Challenges In Cos.’ COVID-19 Charity Marketing.” A copy of the article is available here. You may also view a PDF copy of the article here.… Continue Reading
This week, the International Olympic Committee announced that the upcoming Tokyo Games would be postponed until next summer due to the novel coronavirus, COVID-19. Even though the event will take place in the summer of 2021, the IOC announced that the event will still retain the name “Olympic and Paralympic Games Tokyo 2020”. By retaining … Continue Reading
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 … Continue Reading
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 FTC … Continue Reading
The Joint Policy Committee, LLC (“JPC”) reached an agreement with the Screen Actors Guild-American Federation of Television and Radio Artists (“SAG-AFTRA”) on the 2019 Commercials Contract and Audio Commercials Contract on April 2, 2019. The deal, led by Reed Smith partner and Chief Negotiator, Stacy Marcus, now moves into its next stages and will be … Continue Reading
Douglas Wood published an article for the Association of National Advertisers on January 2nd titled “Growth in 2019: A Legal Perspective.” In the article, Doug discusses how legal issues will affect brands and growth in years to come and provides an outlook on legal challenges marketers who care about growth need to keep in mind … Continue Reading
Jason Gordon and Andrew Levad published an article in Law360 this week titled, “6 Advertising Law Trends To Watch In 2019.” A copy of the article is available here. You may also view a PDF copy of the article here.… Continue Reading
Washington D.C. is seeking to impose new burdens on businesses offering goods and services with automatic renewal provisions. The bill was submitted to the Mayor’s office, and we expect a response around January 14, 2019. If passed, the bill would require businesses to disclose the automatic renewal provisions and cancellation procedure in contracts with consumers. … Continue Reading
In a recent false advertising case, the court reminded everyone again that if you say something about your product, you had better mean it. Emson, which sells cookware products largely through direct response television spots, brought a false advertising claim against Masterpan and Smart & Eazy Corp. (“S&E”). According to Emson, both defendants made false … Continue Reading
PR firm Creaxion Corporation and Inside Publications, LLC settled with the Federal Trade Commission (FTC) this week regarding promotional practices for Creaxion’s mosquito repellent. In its complaint, the FTC alleged that Creaxion planned a media campaign around its launch of the mosquito repellent during the Zika virus outbreak tied to the 2016 Summer Olympics. They … Continue Reading
The Association of National Advertisers (ANA) and Reed Smith released a white paper – Media Buying 2018: Transparency at a Crossroads – reporting on the state of transparency in the advertising industry and the recently announced FBI criminal investigation into agency media buying practices. Pursuant to the FBI’s request, the ANA notified its advertiser members … Continue Reading
The National Advertising Division of the Better Business Bureau (“NAD”) recently announced updates to its procedures. The change was announced by the Director of the NAD, Laura Brett, at the NAD’s Annual Conference and is the self-regulatory body’s response to a recommendation from the ABA Antitrust Section’s Working Group. The new procedural process is codified … Continue Reading
Last week, the FTC brought its first action against a company marketing and selling intravenously injected therapy products, or “iV Cocktails” as they are often called. In its Press Release, the FTC announced that it reached a settlement with A&O Enterprises Inc., d/b/a iV Bars, and its individual owner/operator, that prohibits iV Bars from making … Continue Reading
According to the Wall Street Journal, federal prosecutors in Manhattan have opened an investigation into media-buying practices in the advertising industry, and have begun to issue subpoenas. The investigation will reportedly look at, among other things, alleged non-transparent practices, including whether advertising agencies received rebates from media outlets. The investigation comes after the 2016 report on media transparency conducted by … Continue Reading
ID Comms, a media and advertising consultant, recently released its 2018 Media Transparency Report. While the Report indicates that the advertising industry is hopeful that trust and transparency may improve down the road, it paints a rather bleak view of the current state of affairs. Highlights from the Report include that about 40% of respondents … Continue Reading
On August 15, Danielle A. Singer and her company Project Therapy, LLC (dba Therapy Threads) filed a class-action complaint against Facebook, Inc. over its claims concerning ad audiences. According to the Complaint, Facebook overstates its audience metrics in order to induce advertisers to spend money on ads on the platform. The plaintiffs allege, in part, … Continue Reading
Apparently even the Food and Drug Administration (FDA) is on board with ‘90s nostalgia. This week, the agency effectively rebooted the nearly 20-year-old debate on whether alternative milk and plant-based drink products should fall within the definition of “milk”. The FDA governs the proper labeling of foods, including ensuring that foods conform to a certain … Continue Reading
The Association of National Advertisers (ANA) released version 2.0 of the ANA Master Media Buying Services Agreement. The original template was issued in July 2016 as a supplement to the ANA’s landmark report on media transparency, conducted with K2 Intelligence. Among other aspects, the new template includes language designed to reflect best practices on a global … Continue Reading
Erika Auger, a third-year law student at Chicago-Kent College of Law, will have her note published in The Chicago-Kent Law Review. Erika’s note, The “Art” of Future Life: Rethinking Personal Injury Law for the Negligent Deprivation of a Patient’s Right to Procreation in the Age of Assisted Reproductive Technologies 94 Chi.-Kent. L. Rev. __ (2018), … Continue Reading
A proposed class of approximately 3,000 former college athletes recently filed an appeal in the Seventh Circuit against FanDuel and DraftKings. The players are reviving their proposed class action, claiming that FanDuel’s and DraftKings’ use of the players’ images on their websites does not fall within the newsworthy or public interest exceptions to Indiana’s right … Continue Reading
