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Covering Your Ads® Blog

Maryland Breaks Ground with Digital Advertising Tax

By Steven Hollman, Alyssa Shauer & Justin Hepworth

March 17, 2021

Overriding the governor’s veto of H.B. 732 (2020), the Maryland Senate on February 12, 2021 passed the nation’s first state tax on the digital advertising revenues pulled in by large companies. This development follows attempts by various other states like New York to directly regulate digital advertising and ecommerce services in new ways. We took a look at the Maryland bill to find out what advertisers need to know about its details and potential pitfalls.…

Covering Your Ads® Blog

Brands And Influencers Need To Know About SAG-AFTRA’s New Influencer Agreement

By Michael Campbell & Richard Kopenhefer

March 11, 2021

In February 2021, SAG-AFTRA’s National Board voted to approve a new Influencer Agreement. But, the announcement included few details, leaving many Brands and so-called Influencers to wonder what’s the deal? To date, SAG-AFTRA has not released the actual long form agreement covering Influencers, but it has posted an Influencer Agreement Fact Sheet online here. The Fact Sheet makes clear that, for now, the Influencer Agreement is extremely narrow in reach. Indeed, it all but…

Covering Your Ads® Blog

Is it Time to Make AR and VR a Part of Your Reality?

By Hayley Silvertown

February 12, 2021

To date, there are over 1 billion augmented reality (“AR”) users and 171 million virtual reality (“VR”) users worldwide[1], a number that continues to increase as more industries turn to AR and VR to create immersive user experiences. Companies are offering stand-alone experiences that integrate augmented reality and virtual reality at events, such as Samsung and Live Nation’s broadcast of a VR Coldplay concert, as well as through in-store location based applications to…

Covering Your Ads® Blog

Top 10 Diligence Issues in Lead Generation Mergers and Acquisitions

By Zachary Turke & Peter Park

February 12, 2021

As anyone who has been through a corporate sale process can tell you, there is no such thing as a “standard” M&A transaction. Every deal is different and presents a unique set of challenges. This is especially true of transactions involving lead generation companies, which can be very different than businesses in other industries. Amongst other differences, companies in this space utilize a wide variety of customized commercial arrangements and are subject to numerous industry-specific…

Covering Your Ads® Blog

Mobile Advertising Company Gets Flack from FTC for Failure to Deliver Upon Advertised Promises

By Snehal Desai

January 14, 2021

Tapjoy, Inc. (“Tapjoy”), a mobile advertising company, settled FTC allegations that it failed to provide promised in-game rewards to consumers. Tapjoy operates an advertising platform that works within mobile games and offers in-game virtual currency to users who complete the activities of third-party advertisers (i.e. purchase products, sign up for a free trial, take a survey). Despite hundreds of consumer complaints, Tapjoy failed to deliver on its promises to consumers who earned in-game rewards.…

Covering Your Ads® Blog

The Scoop on All that Vanilla Flavor False Advertising Litigation

By Robert Guite & Abby Meyer

January 13, 2021

This article was originally published on Food Navigator on January 13, 2021. If your company sells any vanilla-flavored food or beverage product, then you are probably aware of the innumerable class action cases that have been filed over the last 18 months attacking these products – 67 cases by our count. Here, we trace the history of this litigation and the outcomes achieved to date.…

Covering Your Ads® Blog

Food & Beverage False Advertising and Labeling Class Actions: What You Need to Know for 2021

By Robert Guite & Sascha Henry

January 12, 2021

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This article was originally posted in Food Manufacturing on January 6, 2021. Despite the COVID-19 pandemic, the number of putative class actions targeting the food and beverage industry increased in 2020 and show no signs of slowing down in 2021. The number of class actions filed against beverage companies in New York increased while the number of cases filed in California decreased. While the Northern District of California, which had become known as the “food court” remained…

Covering Your Ads® Blog

New York Passes Wide-Ranging Automatic Renewal (Subscription Model) Law

By Brian Anderson

December 2, 2020

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New York has enacted a sweeping law that regulates automatic renewal programs (subscriptions) modeled after California’s automatic renewal law…

Covering Your Ads® Blog

Native TikTok Tools May Create Liability for Brands and Influencers

By Samuel Cohen

September 2, 2020

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Brands and influencers could unknowingly be violating the FTC’s endorsement rules by using TikTok to promote paid posts and sponsored content without including the necessary disclosures. TikTok offers native direct download and social sharing tools that enable users to share TikTok videos on other social media platforms without the caption and hashtags from the original video description, which may include disclosures that were included as required by the FTC to identify paid advertising.…

Covering Your Ads® Blog

FTC Cracks Down On Deceptive Social Media Campaign By Teami LLC

By Ted Max

May 13, 2020

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In April 2018, the Federal Trade Commission (“FTC”) wrote to Florida-based Teami LLC (“Teami”), a Florida-based producer of Teami tea and skincare products, reminding it of the requirement set forth in the FTC’s Endorsement Guides, that any material connections, including compensation, between advertisers and internet end-users need to be disclosed “clearly and conspicuously” to consumers. The letter noted that endorsers should use unambiguous language and consumers should be able to notice the disclosure easily without…

Covering Your Ads® Blog

Legal Issues Affecting Advertising, Marketing and Promotions

Blog Authors

Maryland Breaks Ground with Digital Advertising Tax

Brands And Influencers Need To Know About SAG-AFTRA’s New Influencer Agreement

Is it Time to Make AR and VR a Part of Your Reality?

Top 10 Diligence Issues in Lead Generation Mergers and Acquisitions

Mobile Advertising Company Gets Flack from FTC for Failure to Deliver Upon Advertised Promises

The Scoop on All that Vanilla Flavor False Advertising Litigation

Food & Beverage False Advertising and Labeling Class Actions: What You Need to Know for 2021

New York Passes Wide-Ranging Automatic Renewal (Subscription Model) Law

Native TikTok Tools May Create Liability for Brands and Influencers

FTC Cracks Down On Deceptive Social Media Campaign By Teami LLC

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