FTC Is Unsure How To Enforce Blogger Disclosure Rules – It Is Confusing!

Posted by on Jan 15, 2010 | 4 Comments

I believe that the FTC has the best intentions when they established rules governing the disclosure of the relationship between bloggers and products they may endorse. However the FTC does admit that they are unsure how to enforce the new rules when it comes to endorsements. In a recent article there was this statement:

The Federal Trade Commission is still trying to define how it will enforce new disclosure guidelines for bloggers who may have received free products from the companies they cover, according to northeast regional director Leonard Gordon.

This one sentence even adds to the confusion  with this single word ‘may’. How does one ‘may’ have received free products? It is either you get a free product or not.

There is also this statement:

He said the blogosphere “went a little crazy with visions of storm troopers taking down suburban houses and seizing the computers of mommy bloggers,” but that the FTC has no plans to enforce the rules so aggressively.

Instead, he said, the agency wants to focus on people who are being paid to make plugs for products in “non-traditional contexts” such as tweeting. In particular, they’ll go after companies that make claims that aren’t true or can’t be substantiated, essentially the same mission of the FTC in holding companies accountable offline.

While the FTC is still deciding how the new blogger guidelines will be enforced, it’s concerned that consumers may not have sharpened the same sense of skepticism for online claims that they’ve developed for sources offline.

But the line for whether or not disclosure is necessary will likely be drawn in cases where consumers have a “reasonable expectation” that the author was not being paid to plug a product. “If the consumer knew that the person who was making that endorsement was being paid, would the consumer view that endorsement differently? I think that’s the bottom that we’re trying to get at,” said Mr. Gordon.

I am hoping that the FTC will clear up the rules and how they will be enforced. I plan on complying with the guidelines once they are finalized. Hopefully the rules will be easy to follow.

Comments welcome.

Source.

  • http://wp3.lockergnome.com/nexus/theoracle/ the oracle

    The rules should be for the readers, not the bloggers. Personal responsibility is the key.

    with that, only one thing need be known – the meaning of the phrase Caveat emptor.

  • http://wp3.lockergnome.com/nexus/blade/ Ron Schenone

    Hi Marc,
    Agree.

  • http://wp3.lockergnome.com/nexus/tracker1/ tracker1

    How will tweating help? I mean you don’t get a lot of information to put… “Hey, Dell has a deal on XYZ for $???.99 it’s awesome, I use one myself” and still be able to fit “I am an employee of Dell”/”Won a free iPod from Dell back in 2001″/”…” I mean the phrasing of the law is very ambiguous, and it isn’t like the government hasn’t been taking advantage of ambiguous laws for the past few decades, in increasing numbers.

  • Glenn

    I agree with all of the above. This law only puts increasing pressure on bloggers (and others) in complying with vague “laws” that help very little. And we all know that the law is what the lawmakers say it is, and if the law doesn’t say it, the lawmakers will interpret it as such.

    I personally will not buy something on the basis of a sole blog, advertisement, endorsement, review, or any other method trying to convince me to buy it. I do research on the product, doing my best to find negative comments as well as the positive.

    If the product is so new that there hasn’t been sufficient time for such comments to have been generated, I might buy it, but more often than not I will wait sufficient time to allow such comments to aggregate.

    As Marc so succinctly put it, Caveat Emptor. If you are not sufficiently experienced or intelligent to do such research, then employ the services of someone who is. Otherwise:

    “Ya gets burned, and (hopefully) ya learned.”