Endorsements

News & Analysis as of

Nike Voluntarily Dismisses Closely Watched Lawsuit Against Olympic Hopeful

Nike has voluntarily dismissed a lawsuit it had filed against middle-distance runner and Olympic hopeful Boris Berian. At issue was whether Berian breached an endorsement agreement with Nike when—after the agreement’s...more

Unanimous Washington Supreme Court: No Coverage for Water Damage to Vacant Building

The Washington Supreme Court, often described as pro-policyholder, issued a unanimous decision in favor of an insurance company on June 9, 2016: Lui v. Essex Insurance Company, No. 91777-9 (Wash., Jun. 9, 2016). Addressing a...more

Recent FTC Settlements Spotlight Hidden Ways to Hook Unwary Consumer

Brands of all kinds are increasingly using “influencers” or “brand ambassadors” to promote their brand’s products in blog posts and on social media platforms. But no matter whether they are style influencers with a fierce...more

Innovative Social Media Marketing Cannot Overlook Old-Fashioned Compliance

Social media is all about innovation, so it is no surprise that social media marketers are always looking for innovative ways—such as courting social media “influencers” and using native advertising—to promote products and...more

Advertising Law - April 2016 #4

Study Finds Low Compliance for Native Advertising - According to a new study, roughly 70 percent of websites are not compliant with the Federal Trade Commission's recently released native advertising...more

Advertising Law - April 2016 #3

SPECIAL FOCUS: #Twitter at Ten: Ten Times Twitter Made Ad Law History - Ten years ago the world was introduced to Twitter, a microblogging site offering users the chance to express themselves just 140 characters at a...more

National Retailer Settles FTC Native Advertising Complaint

The potential pitfalls of native advertising were on display this month at the Federal Trade Commission (FTC). The agency reported that national retailer Lord & Taylor settled with it on charges that the company improperly...more

Do Fidelity Policies Issued to Individual Partners Provide Coverage for Theft of Partnership Earnings?

The Eighth Circuit is set to decide this question in 3M Company, et al. v. National Union Fire Insurance Company of Pittsburgh, Pa., et al., Appeal No. 15-3495. The answer will likely determine whether a blanket crime policy...more

NAD Decision Addresses Endorsements from Product Testers

This week, the NAD published a decision involving an infomercial for the Shark Rocket DeluxePro vacuum. Although the decision covers several issues – including comparative claims, product demonstrations, and consumer...more

New York’s First Department Holds That Classification Limitation Endorsement Is Part Of The Coverage Grant, Not An Exclusion,...

In Black Bull Contracting, LLC v. Indian Harbor Insurance Company, 2016 NY Slip Op 00002, New York’s Appellate Division, First Department recently concluded that a classification endorsement barred coverage, holding in the...more

Data Security Breaches: Are you covered?

Data security breaches can have a significant impact a company’s bottom line. While larger corporations may be able to sustain the financial hit, small to mid-size corporations can be significantly impacted from the financial...more

As Reliance on “Digital Influencers” Grows, So Does FTC Enforcement

As we saw in a prior post regarding Kim Kardashian and Instagram, the FDA pays attention to how brand companies use paid celebrities to endorse their products. Likewise, the FTC closely scrutinizes how brand companies use...more

Louisville Slugger and the Flying Dutchman

Honus Wagner (aka the Flying Dutchman) was one of early baseball’s great players. He was actually among the original five inducted into the Baseball Hall of Fame in 1936 – along with Ty Cobb, Babe Ruth, Christy Mathewson, and...more

U.S. to China Health Care Arrangements: New Rules for Medical Institution and Service Advertisements

As U.S. hospitals and health care providers continue to explore China’s market for international health care business opportunities, including telemedicine, they often consider providing services or products to consumers...more

RECOVERY from a Surprise Genericness Refusal?

Reliant Beverage Co., makers of “Recovery Water,” has an endorsement from Russell Wilson and heaps of buzz surrounding the purported benefits of its products and “nanobubbles,” but thanks to some errors from both Reliant and...more

Game Over: Popular Multi-Channel Network Settles FTC Complaint for Paid Endorsement Videos

September 8, 2015 On September 2, 2015, the Federal Trade Commission (FTC) announced its first settlement with an online video marketer over an alleged failure to disclose paid endorsements. The FTC settled with Machinima,...more

Can a Google Search Save Your Company $5 Million?

It sounds like a scam, but I swear, there is some truth to this headline. Just ask Hasbro, Inc., the owner of the Littlest Pet Shop line of toy animal figurines. If you have never seen one before, below is an example of two...more

When do celebrity endorsements on social media run afoul of the FTC?

Jesse Saivar, chair of Greenberg Glusker’s Intellectual Property Group, was quoted in an August 26, 2015, Daily Journal article, "Endorsements on social media run afoul of FTC," raising concerns of Federal Trade Commission...more

Scandal Serve as a Reminder of the Importance of Morals Clauses

This week, long-time Subway spokesperson Jared Fogle reached a plea agreement on charges of child pornography and having sex with minors.? ?Although the sandwich shop noted that it no longer has a relationship with Fogle,...more

Judge stops blogging but may face discipline

A Nebraska federal judge called a United States Senator a “wacko” and unfit for a bid for the White House in his blog post…which was criticized by a GWU law professor blogger who said the blog post violated the federal...more

U.S. Hospitality Industry Should Heed CMA’s Warning for Online Reviews and Recommendations

The Competition & Markets Authority (CMA), which investigates business practices and enforces anti-competition and consumer protection legislation in the UK, just released a report and call for information that signals more...more

Five Social Media Law Issues To Discuss With Your Clients

The explosive growth of social media has clients facing legal questions that didn’t even exist a few short years ago. Helping your clients navigate this muddled legal landscape will have them clicking “like” in no...more

FTC Issues Updated Guidance on Endorsements Compliance

Companies should revisit their policies for influencer programs for compliance with the updated guidance. Online advertising and promotion first attracted the attention of the Federal Trademark Commission (FTC) in 2009....more

Amendments to the PRC Advertising Law: The Practical Implications for Brands

When Will Things Change - The existing PRC Advertising Law (Existing Law) entered into force on February 1, 1995 and has not been amended since then. With the advance of the internet and the fact that the average person...more

Smart ad disclosures in the social media age

Recent actions by the Federal Trade Commission highlight the need for companies to review the sufficiency of their advertising disclosures. Companies should take particular care when launching an ad campaign using social...more

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