Boutique law firm Primas Law has issued a warning to UK-based social media influencers and celebrities promoting paid-for brand tie ups, after several breaches were flagged by the Advertising Standards Agency (ASA).
Celebrities and bloggers are making millions of pounds in commercial partnerships, as they set out to capitalise on the vast commercial opportunities posed by the social media influence in recent years.
However, as savvy marketeers find new ways to promote their brand or product by working with social media influencers, it is posing some key and avoidable risks, according to Primas Law.
Over the past year, Primas Law has accumulated a growing list of celebrities and social media influencers keen to secure advice on the changes and understand how to navigate the complex array of legal issues and new advertising rules.
“The UK advertising rules – also known as the Committee of Advertising Practice, or CAP, code have been put in place to control paid-for advertising and encourage influencers to be as transparent as possible when it comes to exchanging product exposure for cash, said Adam Kerr, managing partner at Primas Law.
“So, it’s critical they are navigating these correctly and adhering to the code, in order to prevent breaches, which can be very high profile and damaging for their personal brands.”
Both HMRC and the ASA have been monitoring the social media influencer explosion over the last few years, as the line between personal recommendations and paid advertising blurs, hastening the need for professional advisory services.
The Competition and Markets Authority (CMA) has also announced that it has secured formal commitments from 16 celebrities, including Rita Ora, Zoe Sugg and Michelle Keegan, to state clearly if they have been paid or received gifts from brands they endorse.
The law firm, which has offices in Cheshire, Manchester and London, and specialises in corporate, commercial and property law has a team that advises brands and influencers on their use and protection of intellectual property and influencer agreements.
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