The FTC has published revised guides concerning the use of endorsement and testimonials in advertising, otherwise known as the “Endorsement Guides.” This set of interpretations by the Commission of its application of Section 5 of the FTC Act has been one of the most important documents in the age of social media. The Endorsement Guides provide advice about what the FTC believes constitutes unfair or deceptive acts in violation of the FTC Act. Among the areas that have undergone significant revision include:
- New guidance with regard to procuring, suppressing, boosting, organizing, publishing, “upvoting”/“downvoting,” or editing of consumer reviews in a manner that distorts the overall impression.
- New guidance on incentivized reviews and fake reviews.
- New specific guidance on how “clear and conspicuous” disclosure should be applied in the endorsement context.
- Broader definitions of what constitutes an endorsement.
- Clarification of the potential liability for advertisers, endorsers, and platforms.
- New specific focus on vulnerable populations, such as children.
If that wasn’t enough, the FTC published augmented guides for understanding the guides! The FTC published a set of FAQs in 2017 that articulated summaries of the interpretations set forth in the Endorsement Guides. Now, those FAQs have been expanded to cover the new areas of the Endorsement Guides.