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Advertising agencies or website designers have responsibilities in reviewing the information used to substantiate ad claims. They should not simply rely on an advertiser’s assurance that the claims are substantiated. In determining whether an ad agency should be held liable, the FTC looks at the extent of the agency’s participation in the preparation of the challenged ad, and whether the agency have knowledge or should have known that the ad included false or deceptive claims.
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To protect themselves, catalog marketers should ask for materials to back up advertiser’s claims rather than repeat what the manufacturer says about the product. If the manufacturer doesn’t come forward with proof or turns over proof that looks doubtful, the catalog marketer should see a yellow “caution light” and proceed appropriately, especially when it comes to extravagant performance claims, health or weight loss promises, or earnings guarantees. In writing ad copy, catalogers should stick to claims that can be supported. Most important, catalog marketers should trust their instincts when a product sounds too good to be true.
(Source:FTC.gov)
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