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.
Wisconsin Contract between Television Advertising Production Company and Actor to do Infomercial: In Wisconsin, a contract between a Television Advertising Production Company and an Actor for an Infomercial is a legally binding agreement that outlines the terms, conditions, and obligations of both parties involved. This contract ensures smooth collaboration and protects the rights of each party throughout the production process and beyond. Keywords: Wisconsin, contract, Television Advertising Production Company, Actor, Infomercial Types of Wisconsin Contracts between Television Advertising Production Company and Actor for Infomercial: 1. Talent Agreement: This type of contract establishes the services to be rendered by the Actor in the Infomercial. It outlines details such as compensation, work schedule, length of engagement, and the scope of the actor's involvement in the production. 2. Non-Disclosure Agreement (NDA): An NDA is essential in the entertainment industry to protect sensitive information disclosed during the production process. This contract safeguards trade secrets, proprietary information, scripts, and any other confidential material shared between the Television Advertising Production Company and the Actor involved in the Infomercial. 3. Release Agreement: A release agreement grants the Television Advertising Production Company the right to use the Actor's image, performance, and likeness in promoting and distributing the Infomercial. It also ensures that the Actor releases any claims or demands against the production company regarding the use of their performance. 4. Indemnification Agreement: This contract protects the Television Advertising Production Company from any liabilities arising from the Actor's actions during the production of the Infomercial. It requires the Actor to compensate the production company for any damages, expenses, or losses incurred due to the Actor's negligence or misconduct. 5. Payment Terms Agreement: This contract details the Actor's compensation, including the agreed-upon fees, reimbursable expenses, and payment schedule for their services in the Infomercial. It also includes provisions for payment modifications, bonuses, or penalties based on the Infomercial's performance and ratings. 6. Intellectual Property Rights Agreement: This contract outlines the ownership and usage rights of the Intellectual Property (IP) created during the production of the Infomercial. It ensures that the Television Advertising Production Company retains all rights to the commercial and any associated trademarks, copyrights, or patents. It is crucial for both the Television Advertising Production Company and the Actor to carefully review and negotiate these contracts to protect their respective interests and ensure a successful Infomercial production in Wisconsin. Furthermore, it is advisable to consult with legal professionals specializing in entertainment law to draft and finalize these agreements.