In 2009, the Federal Trade Commission made several changes to the FTCs Guides Concerning the Use of Endorsements and Testimonials in Advertising, which address endorsements by consumers, experts, organizations, and celebrities, as well as the disclosure of important connections between advertisers and endorsers. The Guides were last updated in 1980.
Celebrity endorsers are addressed in the revised Guides. While the 1980 Guides did not explicitly state that endorsers as well as advertisers could be liable under the FTC Act for statements they make in an endorsement, the revised Guides reflect Commission case law and clearly state that both advertisers and endorsers may be liable for false or unsubstantiated claims made in an endorsement or for failure to disclose material connections between the advertiser and endorsers. The revised Guides also make it clear that celebrities have a duty to disclose their relationships with advertisers when making endorsements outside the context of traditional ads, such as on talk shows or in social media. Note Section XI of this form.
The term Infomercial refers to an information commercial (usually 15 to 30 minutes long) that is presented more like a talk show than a commercial promotion. Infomercials are aired normally at fringe times (late night to early morning), and aim at building awareness of a product or service by demonstrating its use and benefits. Typically, they include an attractive direct response offer (with toll-free numbers) designed to elicit on-the-spot orders.
Idaho Contract between Television Advertising Production Company and Actor to do Infomercial: Explained In Idaho, when a television advertising production company hires an actor to appear in an infomercial, a detailed contract is necessary to establish the rights, responsibilities, and obligations of both parties involved. This contract serves as a legal agreement between the advertising production company and the actor, ensuring a smooth collaboration and protecting the interests of each party. Key Points Covered in Idaho Infomercial Contracts: 1. Roles and Responsibilities: The contract will clearly outline the specific roles and responsibilities of the television advertising production company and the actor. It includes details about the character the actor will portray, the duration of their appearance, and any special requirements or skills needed for the infomercial. 2. Compensation: The contract will address the financial aspects, including the agreed-upon compensation for the actor's services. It will outline the payment structure, such as a lump sum or hourly rate, and specify when and how the actor will receive payment. 3. Intellectual Property Rights: The contract will address the ownership of the infomercial and its related materials. It will specify whether the rights belong exclusively to the advertising production company or if the actor retains any ownership rights. Additionally, it may cover issues like the usage of the actor's likeness or voice in marketing materials. 4. Confidentiality Clause: To protect sensitive information, the contract may include a confidentiality clause that prohibits the actor from sharing any confidential or proprietary information obtained during the production process. This clause ensures that trade secrets, scripts, and other valuable information remain safeguarded. Types of Idaho Contracts between Television Advertising Production Company and Actor: 1. Standard Infomercial Contract: This is the most common type of contract used when hiring an actor for an infomercial. It covers the basic terms and conditions, compensation, intellectual property rights, and confidentiality clauses as mentioned above. 2. Exclusive Infomercial Contract: In some cases, the television advertising production company may require exclusive rights to the actor's appearance, prohibiting them from participating in competing infomercials or similar projects during a specified period. This contract ensures the advertising company's investment in the actor is protected. 3. Advanced Payment Contract: A contract may include provisions for advanced payment where the actor receives a portion of the agreed-upon compensation before the infomercial's production starts. This type of contract is often used when actors require upfront guarantees due to the project's duration or complexity. In summary, when an Idaho television advertising production company hires an actor for an infomercial, a specific contract is needed to detail the terms, roles, compensation, intellectual property rights, and confidentiality agreements. Depending on the circumstances, various types of contracts, such as standard, exclusive, or advanced payment contracts, may be utilized to meet the specific needs of both parties involved in the infomercial production.Idaho Contract between Television Advertising Production Company and Actor to do Infomercial: Explained In Idaho, when a television advertising production company hires an actor to appear in an infomercial, a detailed contract is necessary to establish the rights, responsibilities, and obligations of both parties involved. This contract serves as a legal agreement between the advertising production company and the actor, ensuring a smooth collaboration and protecting the interests of each party. Key Points Covered in Idaho Infomercial Contracts: 1. Roles and Responsibilities: The contract will clearly outline the specific roles and responsibilities of the television advertising production company and the actor. It includes details about the character the actor will portray, the duration of their appearance, and any special requirements or skills needed for the infomercial. 2. Compensation: The contract will address the financial aspects, including the agreed-upon compensation for the actor's services. It will outline the payment structure, such as a lump sum or hourly rate, and specify when and how the actor will receive payment. 3. Intellectual Property Rights: The contract will address the ownership of the infomercial and its related materials. It will specify whether the rights belong exclusively to the advertising production company or if the actor retains any ownership rights. Additionally, it may cover issues like the usage of the actor's likeness or voice in marketing materials. 4. Confidentiality Clause: To protect sensitive information, the contract may include a confidentiality clause that prohibits the actor from sharing any confidential or proprietary information obtained during the production process. This clause ensures that trade secrets, scripts, and other valuable information remain safeguarded. Types of Idaho Contracts between Television Advertising Production Company and Actor: 1. Standard Infomercial Contract: This is the most common type of contract used when hiring an actor for an infomercial. It covers the basic terms and conditions, compensation, intellectual property rights, and confidentiality clauses as mentioned above. 2. Exclusive Infomercial Contract: In some cases, the television advertising production company may require exclusive rights to the actor's appearance, prohibiting them from participating in competing infomercials or similar projects during a specified period. This contract ensures the advertising company's investment in the actor is protected. 3. Advanced Payment Contract: A contract may include provisions for advanced payment where the actor receives a portion of the agreed-upon compensation before the infomercial's production starts. This type of contract is often used when actors require upfront guarantees due to the project's duration or complexity. In summary, when an Idaho television advertising production company hires an actor for an infomercial, a specific contract is needed to detail the terms, roles, compensation, intellectual property rights, and confidentiality agreements. Depending on the circumstances, various types of contracts, such as standard, exclusive, or advanced payment contracts, may be utilized to meet the specific needs of both parties involved in the infomercial production.