Introduction:
As an influencer, it’s important to understand your legal liability when working with brands. While influencers are not traditional employees or contractors, the law is changing and courts are starting to hold influencers liable in legal cases. So, what happens if a brand you’re working with gets sued? In this blog post, we’ll explore some of the key questions to consider when it comes to your legal liability as an influencer.
Are You an Employee or an Independent Contractor?
As an influencer, you are typically considered an independent contractor when working with a brand. You may have signed a contract to perform certain services, such as creating content or promoting the brand on your personal page. However, it’s worth noting that the law is changing and it appears that courts are allowing victims to include influencers in lawsuits against brands. This means that you could potentially be held liable for damages in some cases.
How Can You Be Held Liable for Damages?
The Federal Trade Commission (FTC) has already determined that influencers can be held liable for making false statements about a product or service. If you are dishonest or misleading about your experience with or the benefits of a product, the FTC can fine you over $46,000 per violation. In addition, courts are starting to hold influencers liable in legal cases. For example, in 2021, Molly Simms and the brand she was promoting were sued for trademark infringement and false advertising. While Simms attempted to have the suit dismissed against her, the judge did not agree. This can be a costly process, as hiring attorneys to represent you in litigation can be expensive.
Protecting Yourself from Liability:
To potentially protect yourself from being involved in a situation like Molly’s, it’s important to carefully read your contract and consult an attorney. You may be able to negotiate a clause into the contract that minimizes your risk. Additionally, here are some basic tips to help you protect yourself from liability:
- Always avoid misleading advertising.
- Remember that unfair trade practices include false statements about the quality or nature of a product or service, bait and switch tactics, and false advertising that causes the consumer to believe they are getting something special, but they are actually paying a higher price. (This list is not exhaustive.)
- Consult an attorney to review the terms of your contract regarding risk assignment.
One important thing to keep in mind when it comes to your legal liability as an influencer is that you are not only responsible for your own actions and statements, but also for the actions and statements of those you collaborate with or feature on your page. For example, if you work with a guest blogger or feature a guest post on your page, you could be held liable for any false or misleading statements made by that guest. Similarly, if you collaborate with other influencers or creators and share each other’s content, you could be held liable for any legal issues that arise from their content. Therefore, it’s important to be diligent in fact-checking and verifying the accuracy of all content you share, even if it’s not created by you directly.
Another thing to consider is the potential for legal issues arising from sponsored content or paid promotions. If you are promoting a brand or product in exchange for payment, it’s crucial to disclose this relationship to your audience in a clear and transparent manner. The FTC requires influencers to disclose sponsored content, and failure to do so can result in legal action. To protect yourself from liability, make sure to follow the guidelines for disclosing sponsored content and always be honest with your audience about your relationships with brands.
Finally, it’s a good idea to have a solid understanding of consumer protection laws and regulations, as well as industry standards, to minimize your risk of legal liability. In addition to consulting with an attorney, you can also research and educate yourself on the legal landscape of influencer marketing. This will help you stay informed and make informed decisions when it comes to working with brands and promoting products.
Conclusion:
As an influencer, it’s essential to be aware of your legal liability when working with brands. By understanding your rights and responsibilities, you can take steps to protect yourself from potential legal action. If you have any questions or need help reviewing your contracts, consider seeking legal counsel. At Bloomie Legal, we can help you navigate the legal landscape as an influencer. Just give us a call at (800) 123-4567 or visit our website at www.bloomielegal.com for more information.
