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.
San Diego California is a vibrant city located along the Pacific coast in southern California. Known for its stunning beaches, mild climate, and rich culture, San Diego is a popular tourist destination and a major economic hub. It is home to numerous businesses, including television advertising production companies that develop infomercials to promote products or services. A contract between a San Diego-based television advertising production company and an actor for an infomercial is a legally binding agreement that outlines the terms and conditions for their collaboration. This contract typically includes various key sections to ensure both parties' rights, responsibilities, and expectations are clearly defined and protected. 1. Introduction: This section of the contract provides a brief background of both the production company and the actor. It may include their names, addresses, and relevant legal information. 2. Scope of Work: Here, the contract specifies the details of the infomercial project. It includes the product or service being advertised, its intended target audience, and the creative concept or script to be followed during production. 3. Compensation: This section outlines how the actor will be remunerated for their participation in the infomercial. It may cover details such as the actor's fee, additional compensation for appearances or endorsements, payment schedule, and any potential royalties or residuals. 4. Exclusivity and Non-Compete: If necessary, this section may specify that the actor is prohibited from participating in similar infomercials or endorsing similar products or services during or after the contract term within a specific geographical area. 5. Intellectual Property Rights: This clause clarifies the ownership of the final infomercial product, including copyrights, trademarks, and any other intellectual property rights. It typically states that the production company owns the rights to the infomercial and may use it for marketing purposes. 6. Confidentiality: This section ensures that any confidential information disclosed during the course of the project remains protected, prohibiting the actor from sharing sensitive information with third parties. 7. Term and Termination: The duration of the contract is stated here, along with the conditions under which either party can terminate the agreement, such as breach of contract, non-performance, or mutual agreement. 8. Indemnification: This section establishes that both parties will indemnify and hold each other harmless from any claims, damages, or liabilities that may arise due to actions or omissions related to the project. Different types of San Diego California contracts between television advertising production companies and actors to do infomercials may vary based on the complexity and specific requirements of each project. While the basic structure outlined above remains consistent, specific terms and provisions may be tailored to accommodate unique circumstances, such as celebrity endorsements, product testimonials, or location-specific requirements.San Diego California is a vibrant city located along the Pacific coast in southern California. Known for its stunning beaches, mild climate, and rich culture, San Diego is a popular tourist destination and a major economic hub. It is home to numerous businesses, including television advertising production companies that develop infomercials to promote products or services. A contract between a San Diego-based television advertising production company and an actor for an infomercial is a legally binding agreement that outlines the terms and conditions for their collaboration. This contract typically includes various key sections to ensure both parties' rights, responsibilities, and expectations are clearly defined and protected. 1. Introduction: This section of the contract provides a brief background of both the production company and the actor. It may include their names, addresses, and relevant legal information. 2. Scope of Work: Here, the contract specifies the details of the infomercial project. It includes the product or service being advertised, its intended target audience, and the creative concept or script to be followed during production. 3. Compensation: This section outlines how the actor will be remunerated for their participation in the infomercial. It may cover details such as the actor's fee, additional compensation for appearances or endorsements, payment schedule, and any potential royalties or residuals. 4. Exclusivity and Non-Compete: If necessary, this section may specify that the actor is prohibited from participating in similar infomercials or endorsing similar products or services during or after the contract term within a specific geographical area. 5. Intellectual Property Rights: This clause clarifies the ownership of the final infomercial product, including copyrights, trademarks, and any other intellectual property rights. It typically states that the production company owns the rights to the infomercial and may use it for marketing purposes. 6. Confidentiality: This section ensures that any confidential information disclosed during the course of the project remains protected, prohibiting the actor from sharing sensitive information with third parties. 7. Term and Termination: The duration of the contract is stated here, along with the conditions under which either party can terminate the agreement, such as breach of contract, non-performance, or mutual agreement. 8. Indemnification: This section establishes that both parties will indemnify and hold each other harmless from any claims, damages, or liabilities that may arise due to actions or omissions related to the project. Different types of San Diego California contracts between television advertising production companies and actors to do infomercials may vary based on the complexity and specific requirements of each project. While the basic structure outlined above remains consistent, specific terms and provisions may be tailored to accommodate unique circumstances, such as celebrity endorsements, product testimonials, or location-specific requirements.