Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

FTC Guidelines Fallout

By Jonathan Bick
December 18, 2009

The regulations that the Federal Trade Commission (“FTC”) recently promulgated on product endorsements could result in injunctions for bloggers and advertisers, who could be ordered to reimburse consumers for financial losses stemming from product reviews that are considered inappropriate under the new guidance. The fines can reach up to $11,000 per violation.

The FTC action is in response to blogging used to market products and services online, but unbeknown to consumers, companies may compensate blogger-reviewers for their write-ups. Traditional journalism outlets normally bar their writers ' full-time and part-time staffers, as well as freelance contributors ' from accepting such compensation on the assumption that payment from a news or other type of information source presents at least the appearance of a conflict of interest and taints the treasured objectivity and fairness for which most journalism enterprises strive to present and to establish, along with the concomitant credibility with readers, viewers and listeners that such balance has traditionally established and nurtured.

Read These Next
New York's Latest Cybersecurity Commitment Image

On Aug. 9, 2023, Gov. Kathy Hochul introduced New York's inaugural comprehensive cybersecurity strategy. In sum, the plan aims to update government networks, bolster county-level digital defenses, and regulate critical infrastructure.

The Bankruptcy Hotline Image

Recent cases of importance to your practice.

The DOJ's Corporate Enforcement Policy: One Year Later Image

The DOJ's Criminal Division issued three declinations since the issuance of the revised CEP a year ago. Review of these cases gives insight into DOJ's implementation of the new policy in practice.

How AI Has Affected PR Image

When we consider how the use of AI affects legal PR and communications, we have to look at it as an industrywide global phenomenon. A recent online conference provided an overview of the latest AI trends in public relations, and specifically, the impact of AI on communications. Here are some of the key points and takeaways from several of the speakers, who provided current best practices, tips, concerns and case studies.

Use of Deferred Prosecution Agreements In White Collar Investigations Image

This article discusses the practical and policy reasons for the use of DPAs and NPAs in white-collar criminal investigations, and considers the NDAA's new reporting provision and its relationship with other efforts to enhance transparency in DOJ decision-making.