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ADV 318J (69)

Legal Aspects of Advertising and PR.docx

4 Pages

Course Code
ADV 318J
Gary Wilcox

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Legal Aspects of Advertising and PR Regulation of Advertising • Self Regulation o Agency Review Process • Agency Self-policing • Legal department that looks at ads to make sure they follow the law • Internal approval cycle to make sure that what an ad agency says about the firm's product is informed and confirmed • Mandatories and Disclaimers: Carefully spell out to consumers the full details of a particular offer. o Competitive Rivalry • Self Policing: Among companies lead to battles • Self Regulation: "Blowing the whistle on the competition"  "Self policing" occurs when one advertiser tries to make trouble for a competitor o American Advertising Federation AAF • "Advertising code of American business" • Truth: Advertising shall tell the truth and shall reveal significant facts, the concealment of which would mislead the public. • Responsibility: Advertising agencies shall be free of statement illustrations or implications which are offensive to good taste or public decency • Bait Advertising: Advertising LOOK ON BB*** o American Association of Advertising Agencies "four A's" • Maintains a code similar to the AAF's called LOOK ON BB*** o BBB: National Advertising Division (NAD) • Investigate dishonest advertising on a consumer's behalf. • NAD contacts an offending advertiser to ask them to substantiate the claim or otherwise resolve the issue. • National Advertising Review Board (NARB) • Country Time vs. Minute Maid  Minute Maid says: Thy have no real lemon juice  Country Time: says they tastes better than minute maid  NAD made them prove it and Country time did o Regulation by media • Protect audience from dishonest advertisers. • Protect audience's values  Ex: Trojan Condoms (Rejected by CBS and FOX) • Network Clearance: Not the same as a legal clearance  Network can refuse adv based on policy issue … condoms, controversial issues, etc. • Ex 2: Prince tennis ad: US Open tennis-- USA/CBS • CBS refused to run ad on grounds of poor taste (Tennis match with God) • Ex3: Super Bowl ad rejected by NBC - PETA ad saying "Vegetarians have better sex" • Ex 4: Bud Light commercials (with guy licking magazine and watching game with dog) • How effective is self regulation? o Advocacy/Pressure Groups • Center for Alcohol Marketing and Youth  Ansheuser Bush Bud Light Commercial • Ad featured football referees stealing beer and running from cops • Parents Television Council  Hardee's "biscuit hole" spot  PTC objected to the "racy" and "brainless" nature of the biscuit hole campaign and "sexually suggestive" Western Bacon Thickburger.  Inappropriate for family viewing  Hardee's seems intent on pushing bounders ****  Hardee's response: target audience is young hungry guys • Governmental o Local/State: Attorney General within the state o Federal: Federal Trace Commission (FTC) • Prohibits:  "Unfair methods or competition in or affecting commerce, and unfair or deceptive acts or practices in or affecting Commerce…"  Deceptive: If there Is a representation, omission or practice that is likely to mislead the consumer acting reasonably. 1. Capacity to deceive - no intent necessary 1. Audience: who is the ad targeted to? 1. What is the meaning of the ad? 1. Ad considered as a whole - total impression governs  Who determines the meaning of the ad? FTC has authority to determine meaning of ad • How? • Has burden of proof. HAS to prove that ad is
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