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.
A Washington Contract between a Television Advertising Production Company and an Actor to do an Infomercial is a legally binding agreement that outlines the terms and conditions governing the collaboration between the two parties. This contract serves to protect both the company and the actor and ensures that the production and broadcast of the infomercial are carried out smoothly and in accordance with agreed-upon terms. The following are various types of Washington Contracts that might exist between a Television Advertising Production Company and an Actor to do an Infomercial: 1. General Contract: This contract covers the essential details of the collaboration, including the project's scope, the actor's role, compensation structure, shooting schedules, and production timelines. It also includes clauses related to intellectual property rights, exclusivity, and confidentiality. 2. Talent Release Agreement: This agreement grants the production company the right to use the actor's name, likeness, and performance in the infomercial for promotional purposes. It ensures that the actor has given consent and waives any claims regarding the use of their image or performance. 3. Non-Disclosure Agreement (NDA): Under an NDA, both parties commit to keeping any confidential information or trade secrets shared during the project strictly confidential. This protects the production company's proprietary information and prevents the actor from using or disclosing confidential information without proper authorization. 4. Payment Agreement: This contract outlines the compensation structure and payment terms agreed upon between the actor and the production company. It specifies payment amounts, methods, and schedules, ensuring that both parties are clear on their financial obligations and expectations. 5. Intellectual Property Rights Agreement: This agreement defines the ownership and usage rights of any intellectual property created during the production of the infomercial. It ensures that the production company retains all rights to their creative work, including the commercial's script, visuals, and any other copyrighted material. 6. Indemnification Agreement: An indemnification clause protects both parties from financial liability in case of any legal claims or disputes arising from the infomercial's production. It states that either party will assume responsibility for any loss, damages, or legal costs resulting from their actions or negligence. When drafting a Washington Contract between a Television Advertising Production Company and an Actor to do an Infomercial, it is crucial to consult with legal professionals experienced in entertainment and contract law to ensure that all necessary clauses, relevant to the specific project's requirements, are included.A Washington Contract between a Television Advertising Production Company and an Actor to do an Infomercial is a legally binding agreement that outlines the terms and conditions governing the collaboration between the two parties. This contract serves to protect both the company and the actor and ensures that the production and broadcast of the infomercial are carried out smoothly and in accordance with agreed-upon terms. The following are various types of Washington Contracts that might exist between a Television Advertising Production Company and an Actor to do an Infomercial: 1. General Contract: This contract covers the essential details of the collaboration, including the project's scope, the actor's role, compensation structure, shooting schedules, and production timelines. It also includes clauses related to intellectual property rights, exclusivity, and confidentiality. 2. Talent Release Agreement: This agreement grants the production company the right to use the actor's name, likeness, and performance in the infomercial for promotional purposes. It ensures that the actor has given consent and waives any claims regarding the use of their image or performance. 3. Non-Disclosure Agreement (NDA): Under an NDA, both parties commit to keeping any confidential information or trade secrets shared during the project strictly confidential. This protects the production company's proprietary information and prevents the actor from using or disclosing confidential information without proper authorization. 4. Payment Agreement: This contract outlines the compensation structure and payment terms agreed upon between the actor and the production company. It specifies payment amounts, methods, and schedules, ensuring that both parties are clear on their financial obligations and expectations. 5. Intellectual Property Rights Agreement: This agreement defines the ownership and usage rights of any intellectual property created during the production of the infomercial. It ensures that the production company retains all rights to their creative work, including the commercial's script, visuals, and any other copyrighted material. 6. Indemnification Agreement: An indemnification clause protects both parties from financial liability in case of any legal claims or disputes arising from the infomercial's production. It states that either party will assume responsibility for any loss, damages, or legal costs resulting from their actions or negligence. When drafting a Washington Contract between a Television Advertising Production Company and an Actor to do an Infomercial, it is crucial to consult with legal professionals experienced in entertainment and contract law to ensure that all necessary clauses, relevant to the specific project's requirements, are included.
