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.
Kansas has specific requirements for contracts between television advertising production companies and actors hired to do infomercials. These contracts outline the agreement between the parties involved and ensure a fair and lawful working relationship. One type of Kansas contract that may be used in this situation is the Standard actor contract. This contract includes various clauses that outline the terms and conditions of the actor's involvement in the infomercial production. It covers aspects such as payment, working hours, intellectual property rights, and dispute resolution. The Standard actor contract typically starts with a detailed description of the infomercial project, including its purpose, target audience, and expected air times. The contract then proceeds to outline the specific role and responsibilities of the actor, including the number of shooting days, expected performance, and any special requirements or skills. The financial terms of the contract are crucial and are typically stated clearly. This includes the actor's compensation, payment schedule, reimbursement for any additional expenses such as travel or accommodation, and penalties for breach of contract. Intellectual property rights are another essential aspect covered in the contract. The contract should specify if the actor agrees to assign any rights regarding their performance, such as copyright or image rights, to the production company. Additionally, it should clarify how the actor's name, voice, or likeness can be used for promotional purposes related to the infomercial. The contract also addresses issues related to confidentiality and non-disclosure. This includes any trade secrets or confidential information shared during the production process and ensures that the actor maintains strict confidentiality even after the contract ends. Regarding dispute resolution, the contract may include a clause specifying that any disputes between the parties will be resolved through arbitration, mediation, or litigation in a Kansas court, according to state laws. Overall, the Kansas contract between television advertising production companies and actors for infomercials is a comprehensive agreement that protects the rights and interests of both parties. It lays out the terms and conditions of the engagement, financial matters, intellectual property rights, confidentiality, and dispute resolution. It is essential for both the production company and the actor to carefully review and understand the contract before signing to ensure a successful and legally compliant partnership.Kansas has specific requirements for contracts between television advertising production companies and actors hired to do infomercials. These contracts outline the agreement between the parties involved and ensure a fair and lawful working relationship. One type of Kansas contract that may be used in this situation is the Standard actor contract. This contract includes various clauses that outline the terms and conditions of the actor's involvement in the infomercial production. It covers aspects such as payment, working hours, intellectual property rights, and dispute resolution. The Standard actor contract typically starts with a detailed description of the infomercial project, including its purpose, target audience, and expected air times. The contract then proceeds to outline the specific role and responsibilities of the actor, including the number of shooting days, expected performance, and any special requirements or skills. The financial terms of the contract are crucial and are typically stated clearly. This includes the actor's compensation, payment schedule, reimbursement for any additional expenses such as travel or accommodation, and penalties for breach of contract. Intellectual property rights are another essential aspect covered in the contract. The contract should specify if the actor agrees to assign any rights regarding their performance, such as copyright or image rights, to the production company. Additionally, it should clarify how the actor's name, voice, or likeness can be used for promotional purposes related to the infomercial. The contract also addresses issues related to confidentiality and non-disclosure. This includes any trade secrets or confidential information shared during the production process and ensures that the actor maintains strict confidentiality even after the contract ends. Regarding dispute resolution, the contract may include a clause specifying that any disputes between the parties will be resolved through arbitration, mediation, or litigation in a Kansas court, according to state laws. Overall, the Kansas contract between television advertising production companies and actors for infomercials is a comprehensive agreement that protects the rights and interests of both parties. It lays out the terms and conditions of the engagement, financial matters, intellectual property rights, confidentiality, and dispute resolution. It is essential for both the production company and the actor to carefully review and understand the contract before signing to ensure a successful and legally compliant partnership.