NAD Decision in StubHub Case – Service Fees Must be Disclosed Upfront

StubHub’s price disclosure practices have come under scrutiny by the National Advertising Division (“NAD”) of the Council of Better Business Bureaus, and NAD’s decision last month critical of these practices has implications for all online marketers of consumer goods and services. At issue in the StubHub inquiry was the manner in which StubHub discloses its services fees...

Legal Review of Advertising Claims – A Ten Minute Overview

From the ad agency “war room” to the advertiser’s boardroom, the driving force behind almost every advertising campaign is a set of product claims approved for inclusion in the creative executions. These claims may be boldly asserted or subtly suggested.  They may be highlighted in clearly informative copy, or softly delivered in sentimental music from...

Forecast for Negative Option and Continuity Programs – Cloudy Conditions Giving Way to High Pressure System

If there has been any doubt among marketers and their legal counsel regarding the landscape for so-called negative option and continuity marketing programs in the coming year, recent developments in regulatory enforcement evidence a trend toward enhanced scrutiny and oversight of these programs. Just last week, AdoreMe, Inc. agreed to a settlement...

CARU – Mattel – Sofia the First

Companies advertising to children…take heed! In a recent decision, CARU took what seems to be an especially hardline stance regarding the required sufficiency and clarity of disclosures made to children. In an action initiated through its routine monitoring program, CARU questioned whether Mattel’s :15 commercial for the “Sofia The First Royal Prep Academy” product adequately...

BBB to MyPillow: BOGUS BOGO

To the uninformed advertiser, free can be costly. The Better Business Bureau of Minnesota and North Dakota (BBB) has revoked the accreditation of Minnesota-based MyPillow, Inc. lowering its rating to an F primarily due to its Buy One Get One (BOGO) advertising campaign. It’s a reminder that advertisers must exercise caution when...