Yesterday morning, law firm Heenan Blaikie held their MAdLaw seminar which focused on the latest legal developments in areas including anti-spam, privacy, copyright and advertising to kids. Here are some of the key points from the session:
User-generated & viral content
- Upside: leverages consumer social networks
- Downside: less control over the message
Viral Content: Risk Mitigation
- Full compliance with all intellectual property laws is tough in user-generated contexts
- Strict requirements will frustrate marketing objectives
- Consumers will get frustrated with promotion and brand
- They will voice that frustration too!
- Developing strategies to head-offanticipated issues is key.
Viral Content: Risk Mitigation
- Risk management often depends on consumer “investment” in the content
- Examples of low investment
- Take a photo of you and the product
- Write the last line of a commercial
- Examples of high investment
- Shoot a video advertising our product
- Any action involving time and skill
Basics of Copyright
- There is no copyright in an idea,butonlyinthe expression of the idea.
- Protection of original expression.
- Protection for a limited time(life of author+50 years).
Case Study: Danone
- Claimed Activia yogurt and DanActive probiotic drinks could prevent colds and relieve digestive issues
- US Federal Trade Commission alleged the claims were exaggerated or not adequately supported
- US settlement: $21 million
- Canadian settlement: $1.7 million
Case Study: Reebok
- Claimed that use of EasyTone shoes and apparel would result in toning and strengthening benefits
- Plaintiffs alleged claims were false and misleading
- US settlement: $25 million
- Canadian settlement: $2.2 million
Case Study: The Brick
- Quebec consumer rights group launched class action against The Brick
- Alleged that The Brick’s “Do not pay for 15 months” ad claim was false, because the program required a $35 annual membership fee
- The Brick agreed to pay $2 million settlement
Anti-spam, copyright, privacy and other legal issues related to advertising continues to be a growing concern for consumers, the Privacy Officer of Canada who has even challenged the world’s largest social network Facebook on their practices. Fortunately companies such as eyeReturn are taking a proactive approach to ensure their advertising solution provide a balance between protecting consumers and advertisers can accurately target users.
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