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October 4th, 2010
Ad Groups Announce Self Regulatory Program Regarding Behavioral Ads
A group of the nation’s leading marketers and advertisers announced today further details about a self regulatory program aimed at giving consumers some control over their privacy and the online advertisements they receive.
Using behavioral targeting techniques, advertisers send consumers targeted ads based on information collected from an individual’s Web browsing behavior. Some consumer advocacy groups, as well as the Federal Trade Commission (“FTC”), question whether these practices impinge on consumers’ privacy.
The most recent announcement follows up on the advertising industry’s Self Regulatory Principles for Online Behavioral Advertising, released in 2009.
Significantly, the industry announced it recommends the use of an icon that advertisers will place on their behavioral ads or on Web pages that collect data for their ads. The icon will alert consumers about what is being collected and eventually allow consumers to opt-out. Companies can acquire and start using the icon today, but the opt-out mechanism is not expected to be functional until later in the fall. The Council for Better Business Bureau (“CBBB”) and the Direct Marketing Association (“DMA”) will enforce and monitor compliance starting in 2011.
The alliance announcing the program was formed by the CBBB, the DMA, the American Association of Advertising Agencies, the American Advertising Federation, the Association of National Advertisers, and the Interactive Advertising Bureau.
The FTC will certainly monitor the success of the program as it continues to determine whether additional regulation of behavioral advertising is necessary.
If you have any questions about the recent FTC announcement or other advertising/marketing law issues, please contact Jeffrey A. Greenbaum at (212) 826 5525 or jgreenbaum@fkks.com, or any member of the Frankfurt Kurnit Advertising Group.
Disclaimer. This alert provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.
Other Advertising Law Alerts
What the Advertising Industry Can Learn from Kim Kardashian’s Settlement with the SEC
On October 3, 2022, the Securities and Exchange Commission (SEC) announced that it entered into a $1.26 million settlement with Kim Kardashian over her social media promotion of the EMAX token without disclosing payment she received from token issuer, EthereumMax. The matter provides important lessons for advertisers. Read more.
October 10 2022
Get Ready for California’s New “Automatic Renewal” Rules
California recently amended its Automatic Purchase Renewals law. The amended statute - effective July 1st -- require marketers to provide consumers of automatic renewal or continuous service offers with more information and easier ways to terminate. Read more.
June 22 2018
“Made in the U.S.A.” Claims Continue to be Scrutinized
In 2016, California amended Section 17533.7 of the California Business and Professions Code ("Section 17533"), liberalizing the standard for selling products labeled "Made in U.S.A" to California consumers. Read more.
June 4 2018
