Advertiser Self-Regulation And Class Actions: Part 1

Law360 (May 16, 2018, 3:10 PM EDT) -- When an advertiser agrees to voluntarily participate in industry self-regulation before the National Advertising Division, it does so expecting to avoid litigation. Yet there has been a consistent concern among advertisers that NAD participation may actually make consumer class action litigation more, rather than less, likely.

In 2012, the Advertising Self-Regulatory Council amended NAD procedures to provide that “[a]n advertiser’s voluntary modification of advertising, in cooperation with NAD ... self-regulatory efforts, is not to be construed as an admission of impropriety.”[1] This amendment was, in part,...
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