Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
Page 11
Page 12
Page 13
Page 14
Page 15
Page 16
Page 17
Page 18
Page 19
Page 20
11NativeAdvertisingContinuedfromPage10bletorecommendasingleone-size-fits-alldisclo-suremechanism.21Withoutfurtherofficialguid-ancefromtheFTCmoreindustrygroupswilllikelyfollowsuitanddeveloptheirownbestpractices.TakeawaysWhilenativeadvertisingmaybeanattractiveoptiontoincreaserevenuebothforadvertisersandonlinecontentproviderssuchadvertisingbyitsveryna-turerisksdeceivingconsumersandrunningafouloftheFTCActaswellaspotentiallyotherlaws.Thusthoseengaginginorconsideringnativead-vertisingoughttoconsiderthatriskandtheuncer-tainregulatorylandscape.Tominimizetherisknativeadvertisersshouldensuretheyclearlyandconspicuouslydisclosethenatureoftheircontent.Ofcoursewhatthatmeansinpracticeisopentointerpretationandmayvarydependingonthemedi-umindustryandcontentoftheadvertisement.Evaluatingpossibledisclosurelanguageagainststandardsissuedbyindustrygroupsmayprovidesomefurtherinsightastocommonpractice.How-everwithoutfurtherregulatoryguidancethosestandardscannotbeconsideredthefinalwordonwhetheranyspecificdisclosureissufficient.Somefactorstoconsiderwhenevaluatingwhetheradis-closureissufficientlyclearandconspicuousinthecontextofnativeadvertisinginclude1.Theproximitybetweenthedisclosureandtheadvertisement2.Thefontcolorandsizeofthedisclosurewhencomparedtothenon-sponsoredcontent3.Theclarityofthelanguageusedtoidentifytheadvertisementlikesponsoredoradand4.Thedegreetowhichtheadvertisementisdis-tinguishablefromthesurroundingcontentforinstancebyusingshadingadifferentfontcol-orandabordertoseparateitfromtheothercontent.Inshortwhilenativeadvertisingmayopenupabravenewworldofpotentialrevenueadvertisersandpublishersshouldproceedcautiouslyonthisrelativelyuncertainterraintoensuretheyarenotthefirstboldexplorerstodiscoverexactlywheretheregulatoryandlegaldangerslie._____________________________________1PerryViscountyisapartnerandDavidTroutmanandBrianKollatzassociatesinLathamWatkinsOrangeCountyof-fice.JenniferL.BarryisapartnerinLathamWatkinsSanDiegooffice.TheviewsexpressedherearetheauthorsandnotthoseofLathamWatkinsitsclientsortheFBAOC.215U.S.C.45a1.3FTCPolicyStatementonDeceptionappendedtoCliffdaleAssociatesInc.103F.T.C.1101741984availableathttpwww.ftc.govftc-policy-statement-on-deception.4FTCPressReleasePublicRelationsFirmtoSettleFTCChargesthatitAdvertisedClientsGamingAppsThroughMisleadingOnlineEndorsementsAugust262010availableathttpwww.ftc.govnews-eventspress-releases201008public-relations-firm-settle-ftc-charges-it-advertised-clients.5FTC.comDisclosuresHowtoMakeEffectiveDisclosuresinDigitalAdvertisingMarch2013availableathttpbusiness.ftc.govdocumentsbus41-dot-com-disclosures-information-about-online-advertising.6Id.at7.7Id.at43-46.8FTCCommercialAlertResponseLetterJune272002availableathttpwww.ftc.govsitesdefaultfilesdocumentsclosing_letterscommercial-alert-response-lettercommercialalertletter.pdf.9Seee.g.FTCSampleLettertoGeneralPurposeSearchEnginesJune242013availableathttpwww.ftc.govsitesdefaultfilesattachmentspress-releasesftc-consumer-protection-staff-updates-agencys-guidance-search-engine-industryon-need-distinguish130625searchengine-generalletter.pdfFTCSampleLettertoSpecializedSearchEnginesJune242013availableathttpwww.ftc.govsitesdefaultfilesattachmentspress-releasesftc-consumer-protection-staff-updates-agencys-guidance-search-engine-industryon-need-distinguish130625searchenginespecial-izedletter.pdf.10FTCSampleLettertoGeneralPurposeSearchEnginesJune242013at1-2availableathttpwww.ftc.govsitesdefaultfilesattachmentspress-releasesftc-consumer-protection-staff-updates-agencys-guidance-search-engine-industryon-need-distinguish130625searchenginegeneral-letter.pdf.11Id.at3.12Id.at3-4.EndnotescontinuedatPage14