FTC Compliance: Internet Advertising Campaign Regulations

A well-executed Internet advertising campaign can make a business, but it must comply with Federal Trade Commission marketing and advertising regulations.

When the FTC catches companies shirking promotional rules, it can dole out devastating fines. Want to keep the agency off your back? Hire an FTC attorney for a marketing compliance review.

Rules For Internet Advertising Campaigns

The Federal Trade Commission, which derives its power from the Federal Trade Commission Act, promulgates and enforces Internet advertising regulations. Primarily, the commission bars businesses from using deceptive and misleading advertising strategies.

Situations vary and the devil is typically in the details, but the top three Internet advertising campaign don’ts are as follows.

  1. Don’t make false claims.
  2. Paid promoters, influencers, and affiliate marketers who promote brands in exchange for money or products must conspicuously disclose this material relationship. If they don’t, the brand can be held responsible.
  3. Don’t make scientific claims without substantive proof to back them up.

Factual Omissions Can Qualify As “False Claims”

Failing to provide pertinent information in a marketing campaign also falls under “noncompliance.”  If companies fail to disclose information that could impact consumers’ product understanding, the FTC can hold them liable for deceptive advertising.

Potential Enforcement Actions

The FTC uses a number of enforcement actions depending on the severity of the matter. It may issue cease-and-desist orders, fencing-in provisions, corrective advertising orders, or numerous other informational remedies, including bans and fines.

Connect With An Internet Marketing Attorney

Is the FTC investigating your marketing campaign? Want to avoid future run-ins with the agency? Either way, we can help. Get in touch today to begin the conversation. The consultation is on us.

About the author

Written by
Gordon Law Staff

Gordon Law Group is a Chicago-area law firm that has represented taxpayers before the IRS since 2012 and has focused on cryptocurrency tax since 2014. Founded by a tax attorney and CPA, the firm handles tax controversy, crypto tax, offshore disclosure, opinion letters, and corporate representation for clients nationwide. Articles published under the Gordon Law Staff byline are written by the firm's marketing and legal staff and reviewed by a Gordon Law attorney before publication. This content is for general information and is not legal advice.

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