Social media can create relevance and connect you to your audience, but does it create legal issues for your organization as well? Learn more about social media and what legal issues you need to be aware of.
reviews ratings retweets reposts creating relevance or legal issues?
Mike from Ice Miller talks about legal pitfalls of social media.
social media overview Social media is changing the way that the world does business and those who best understand how to use social media will thrive. The use of technology, the internet and most recently social media in business, B2B or B2C e-commerce, m-commerce (mobile commerce), and other mobile applications creates many legal issues.
Social media cannot be ignored , and neither can the legal issues surrounding the use of social media. social media overview
Social media is quickly becoming the number source for job postings and referrals. employment practices Companies must design employee use policies and keep them current: <ul><ul><ul><li>use of company computers or mobile </li></ul></ul></ul><ul><li> devices </li></ul><ul><ul><ul><li>information permitted or prohibited on </li></ul></ul></ul><ul><li> social networking sites </li></ul><ul><ul><ul><li>confidentiality/ endorsements / </li></ul></ul></ul><ul><ul><ul><li>disparaging remarks </li></ul></ul></ul><ul><ul><ul><li>ownership of information </li></ul></ul></ul>
Employee's post-employment activities is a controversial area… who owns the information? how is it protected? employment practices Some states prohibit an employer from interfering with employee’s activities at home.
Almost always to participate in an on-line services, you must hit the "I agree" button which means that you will be bound by the terms and conditions of the site. user terms and conditions
user terms and conditions Most people do not read the terms and conditions of use. Do you? LinkedIN FaceBook Twitter Youtube
Consumer-referral driven economy is creating the need for further regulation to maintain (or create) truth in advertising E-Advertisement Guidelines: New FTC Guidelines $ 1.35 billion dollars in social media advertising in 2007 and expected to grow to $3.7 billion by 2011
Revised FTC guidelines relating to Endorsements and Testimonials take effect December 1, 2009: Disclaimers such as "results not typical" are deemed insufficient to correct consumer misperceptions about products or services); must have independent substantiation for claims
Revised FTC guidelines relating to Endorsements and Testimonials take effect December 1, 2009: Effectively eliminates anonymous blogs or websites designed to create web traffic, to promote own products or services or to criticize competitors' products or services; "all material connections" must be disclosed
Company and Marketers responsible for misrepresentations or statements for hired blog services, employees, third parties reviewers who receive free samples; must affirmative train and monitor. Revised FTC guidelines relating to Endorsements and Testimonials take effect December 1, 2009:
Use of social media is a hot topic in highly regulated industries or with sensitive persons (such as in health care/ pharmaceuticals, financial services, collection services, legal, and the effect of regulations or laws such as the FCC, FTC, FDA, SEC, Attorneys General opinions, or laws involving children, entertainment, labor unions, or politics). other regulatory and limitations
On November 12 and 13, the FDA began taking public comments en route to developing guidelines relating to the use of social media in drug and medical device circumstances: other regulatory and limitations <ul><ul><li>Social media used to create dialogues about </li></ul></ul><ul><ul><li>diseases, treatments, remedies, specific drugs; </li></ul></ul><ul><ul><li>effect on adverse even reporting requirements </li></ul></ul><ul><ul><li>Should drug companies have duty to monitor social </li></ul></ul><ul><ul><li>listen to dialogue; correct misperceptions </li></ul></ul><ul><ul><li>Concern for adequacy of risk/benefit disclosure </li></ul></ul><ul><ul><li>(consider 140 limits on Twitter) </li></ul></ul><ul><ul><li>Top industry (Lilly, J&J, Pfizer), internet (Google) </li></ul></ul><ul><ul><li>and social media (WOMMA) participate </li></ul></ul>
Growth of brand marketing, proliferation of free and available artwork, open and transparent internet and worldwide markets make intellectual property protection extremely difficult intellectual property Copyright protection Trademark protection: use of protected trademarks is a huge issue in social media—how and when to enforce License agreements
Cyberslander, harassment and defamation are growing in popularity, especially by former employees ("Sticks and Stones can Break your Bones, but Words can Hurt You More”) personal torts & 1st amendment Consumers posting of positive and negative experiences on social networking sites, such as YouTube ("United Breaks Guitars" video—6 million hits; 23,000 comments; 15 related videos—including Taylor Guitar Responds) Discovery of individuals involved in miscreant behavior
Consumer complaint sites; (ripoffreport.com states: "we never remove reports even when they are claimed to contain defamatory statements, and even if the original author requests it”) personal torts & 1st amendment Immunity under the Communications Decency Act 47 U.S.C. § 230 for internet portals Violations of the Consumer Fraud and Abuse Act (18 USC § 1030) Insurance Coverage: some insurance companies are creating new products intended specifically for risks posed by social media and business cybertorts.