Promotional Blogging and New FTC Guidelines
The Federal Trade Commission (”FTC”) publishes guidelines to help advertisers keep their practices compliant with the Federal Trade Commission Act (”FTC Act”). The purpose of the FTC Act is to prevent unfair methods of competition and deceptive acts and to provide a means of redress for injured consumers. The FTC recently announced revisions to these guidelines. Notably, the revisions specify that blogger endorsements are now subject to the long standing rule that connections between advertisers and endorsers must be disclosed. Prior to the revisions, bloggers could promote products without the risk of violating the FTC Act. Under the revised guidelines, however, the post of a blogger who receives cash, free products, or other benefits to review a product is considered an endorsement, and the blogger must disclose that connection. Bloggers should take steps now to ensure that proper disclosures are made, or they risk facing injunctions, fines, and damages.
Julie Pfitzenmaier