Wednesday, August 26, 2015

Will The FTC Investigate the NFL's Russell Wilson for Tweet?

Social Media may be a very productive avenue to market your brand and get the word out about an advertising campaign.  Utilizing celebrities and professional athletes who have a well developed social media presence may be a successful method to create buzz about a new product or service.

While engaging celebrity endorsers it is imperative that they (and their agents/agency/sponsors) are educated about the appropriate regulations that need to be followed to ensure legal compliance.  I have written about the FTC advertising regulations multiple times, here, and here for example, and have also provided official comments to the FTC about areas for further review.  Earlier this year, the FTC provided more guidance regarding its online advertising regulations that advertisers and their paid endorsers must follow.        

For several years, major companies such as Lord & Taylor along with celebrities such as Pharrell Williams, and Kim Kardashian have had to face regulatory scrutiny due to their social media campaigns/endorsements.  While this scrutiny has been limited, it would not surprise me if the FTC decides to make an example out of someone.  Earlier today, the Seattle Seahawks quarterback Russell Wilson tweeted, "I believe @Recovery_Water helped prevent me from getting a concussion based on a bad hit! #NanoBubbles"  

At first glance, the Tweet seems harmless.  However, Wilson didn't acknowledge in the Tweet that he is an investor in the product.  I don't know if Wilson is a paid endorser or what type of compensation if any he may receive(d) for the Tweet and other online activity regarding the alleged (de facto) endorsement.  While it is too soon to speculate on whether the FTC may become involved it demonstrates that brands and professional athletes must be careful about their online activity.

 Copyright 2015 by the Law Office of Bradley S. Shear, LLC. All rights reserved.   

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