Big, big news from the FTC: Sponsored posts must now be disclosed in the video IN ADDITION TO disclosure in the caption of the video

This is a big change from the previous guidance, which only required that the post, in general, have a conspicuous disclosure.

This means that placing #ad in the caption is not sufficient to abide by Federal advertising laws. Instead, you must place a disclosure (like #ad) in the caption AND disclose in the video that the post is sponsored. You can do this by, e.g.

  • Stating “thanks to Apple for sponsoring this video” or “this video is sponsored by Apple”

  • Adding “#ad” as a text block that rolls in an obvious spot of the video for at least 10 seconds

If you don’t do this, you are opening yourself up to liability from the FTC, with fines up to $50,000 per violation.

I’ll keep you posted as the FTC guidelines develop. And if you need any help on brand deal review, corporate work, trademarking, or other legal guidance, you know where to find me.

Previous
Previous

Client Alert: New LLC/Corporation Disclosure Requirements

Next
Next

Everything is Negotiable