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An Examination of Recent
Developments inCommercial
Speech andTobacco
Regulation
By Elizabeth Bauman
Brief History
 The Central Hudson test (1980), U.S. Supreme Court Justice Lewis
Powell clearly stated a test that would formally determine the
extent of First Amendment protection as it relates to commercial
speech. It applies only to the facts of a case and unfolds like this…
 Step One: It asks whether the advertising that is regulated is
misleading, and whether it concerns a legal product or service.
 StepTwo: It asks whether the asserted governmental interest is
substantial, which means the government must show a substantial
interest in protecting the health, safety and morals of the public.
 StepThree: It asks whether the regulation directly advances the
asserted governmental interest.
 Step Four: It asks whether the regulation is “not more extensive
than necessary” to serve the governmental interest.
 FederalTrade Commission’s “reasonable consumer” standard
This means their standard is based on whether a product’s packaging
or advertising would be deceptive or misleading based on the effect
on a reasonable consumer.
RecentCase
Law
 Altria Group, Inc. v. Good, et al. (2008):The Altria Group was sued
by its light cigarette smokers and attempted to argue that the
LabelingAct pre-empted a state-law fraud claim.
 The ones who sued the AltriaGroup claimed the advertisers knew
their claims of “less tar” and “less nicotine” were untrue.
 National Association ofTobacco Outlets v. City of Providence (2013)
 Price Ordinance : Restrict the City's tobacco and cigarette retailers
from reducing prices on tobacco products by means of coupons and
certain multi-pack discounts
 Flavor Ordinance: Restrict sales of certain flavored tobacco products
other than cigarettes
Statute Law
 FederalTrade Commission Act
 Section 12- Covers the dissemination of false advertisements.
 Section 13- Covers the power of the FTC whenever the regulatory
agency believes in the dissemination of false advertising.
 Family Smoking Prevention andTobacco Control Act (2009)
This act gave the FDA extensive regulatory control over
tobacco.
 Lanham Act (1946) attempts to balance rights for individuals or
businesses harmed by false or deceptive advertising
Law Review
Analysis
Regulatory Obstacles to Harm Reduction:The Case of
Smoking
 Main Focus: to examine the involvement of FDA regulation when
it comes to e-cigarettes and how alternatives to other traditional
tobacco products inhibit the potential life-saving qualities.
“…retailers may neither claim that their products are less
dangerous than tobacco cigarettes nor inform consumers
about the potential health benefits of switching from
smoking to vaping without first obtaining permission from
the FDA” (Adler, 2017, p. 744).
Conclusions
 Interpretation:The challenge of striking balance between free
speech in commercial advertising and the tobacco industry is only
going to get harder due to continuing developments including e-
cigarettes, vaping, and the legalization of marijuana.
 Limitations: Some believe the FDA regulations on these e-cigs
and other “safe” alternatives inhibits their life-saving potential.
 Future Research:
 Much is still unknown about the long-term health effects of e-
cigarettes.
 Some say e-cigarettes may not even fall under the umbrella of
tobacco products.
 What do FDA regulations and commercial speech look like for the
current and future legalization of marijuana?
References
Adler, Jonathan H. (2017). Regulatory Obstacles to Harm Reduction:The Case of Smoking. New
York UniversityJournal of Law & Liberty 11, 712-753.
AltriaGroup, Inc. v.Good, et al., 55 U.S. 70 (2008).
Central HudsonGas & ElectricCo. v. Public ServiceCommission of NewYork, 447 U.S. 557
(1980).
Family Smoking Prevention andTobacco Control Act of 2009, 21 U.S. Code § 387a
FederalTrade CommissionAct of 1914, 15 U.S.C. §§ 41-58.
Kerr, Robert L. (2018). RegulatingAdvertising, inW.Wat Hopkins, Communication and the
Law, 2018 Edition (pp. 223-255, at 225). Northport, AL:Vision Press.
Langvardt,ArlenW. (2014).TobaccoAdvertising and the FirstAmendment: Striking the Right
Balance. Wm. & Mary Bus. L. Rev., 334-412.
Lanham Act of 1946, 15 U.S.C. §§ 1051.
National Association ofTobaccoOutlets v.City of Providence, 731 F.3d 71 (2013).
U.S. Food and DrugAdministration. (2016).The facts on the FDA’s new tobacco rule. U.S.
Department of Health and HumanServices. Retrieved from
https://www.fda.gov/ForConsumers/ConsumerUpdates/ucm506676.htm
FederalTrade Commission. (2018). FederalTrade Commission. Retrieved from
https://www.ftc.gov/

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Commercial Speech and Tobacco Regulation Developments

  • 1. An Examination of Recent Developments inCommercial Speech andTobacco Regulation By Elizabeth Bauman
  • 2. Brief History  The Central Hudson test (1980), U.S. Supreme Court Justice Lewis Powell clearly stated a test that would formally determine the extent of First Amendment protection as it relates to commercial speech. It applies only to the facts of a case and unfolds like this…  Step One: It asks whether the advertising that is regulated is misleading, and whether it concerns a legal product or service.  StepTwo: It asks whether the asserted governmental interest is substantial, which means the government must show a substantial interest in protecting the health, safety and morals of the public.  StepThree: It asks whether the regulation directly advances the asserted governmental interest.  Step Four: It asks whether the regulation is “not more extensive than necessary” to serve the governmental interest.  FederalTrade Commission’s “reasonable consumer” standard This means their standard is based on whether a product’s packaging or advertising would be deceptive or misleading based on the effect on a reasonable consumer.
  • 3. RecentCase Law  Altria Group, Inc. v. Good, et al. (2008):The Altria Group was sued by its light cigarette smokers and attempted to argue that the LabelingAct pre-empted a state-law fraud claim.  The ones who sued the AltriaGroup claimed the advertisers knew their claims of “less tar” and “less nicotine” were untrue.  National Association ofTobacco Outlets v. City of Providence (2013)  Price Ordinance : Restrict the City's tobacco and cigarette retailers from reducing prices on tobacco products by means of coupons and certain multi-pack discounts  Flavor Ordinance: Restrict sales of certain flavored tobacco products other than cigarettes
  • 4. Statute Law  FederalTrade Commission Act  Section 12- Covers the dissemination of false advertisements.  Section 13- Covers the power of the FTC whenever the regulatory agency believes in the dissemination of false advertising.  Family Smoking Prevention andTobacco Control Act (2009) This act gave the FDA extensive regulatory control over tobacco.  Lanham Act (1946) attempts to balance rights for individuals or businesses harmed by false or deceptive advertising
  • 5. Law Review Analysis Regulatory Obstacles to Harm Reduction:The Case of Smoking  Main Focus: to examine the involvement of FDA regulation when it comes to e-cigarettes and how alternatives to other traditional tobacco products inhibit the potential life-saving qualities. “…retailers may neither claim that their products are less dangerous than tobacco cigarettes nor inform consumers about the potential health benefits of switching from smoking to vaping without first obtaining permission from the FDA” (Adler, 2017, p. 744).
  • 6. Conclusions  Interpretation:The challenge of striking balance between free speech in commercial advertising and the tobacco industry is only going to get harder due to continuing developments including e- cigarettes, vaping, and the legalization of marijuana.  Limitations: Some believe the FDA regulations on these e-cigs and other “safe” alternatives inhibits their life-saving potential.  Future Research:  Much is still unknown about the long-term health effects of e- cigarettes.  Some say e-cigarettes may not even fall under the umbrella of tobacco products.  What do FDA regulations and commercial speech look like for the current and future legalization of marijuana?
  • 7. References Adler, Jonathan H. (2017). Regulatory Obstacles to Harm Reduction:The Case of Smoking. New York UniversityJournal of Law & Liberty 11, 712-753. AltriaGroup, Inc. v.Good, et al., 55 U.S. 70 (2008). Central HudsonGas & ElectricCo. v. Public ServiceCommission of NewYork, 447 U.S. 557 (1980). Family Smoking Prevention andTobacco Control Act of 2009, 21 U.S. Code § 387a FederalTrade CommissionAct of 1914, 15 U.S.C. §§ 41-58. Kerr, Robert L. (2018). RegulatingAdvertising, inW.Wat Hopkins, Communication and the Law, 2018 Edition (pp. 223-255, at 225). Northport, AL:Vision Press. Langvardt,ArlenW. (2014).TobaccoAdvertising and the FirstAmendment: Striking the Right Balance. Wm. & Mary Bus. L. Rev., 334-412. Lanham Act of 1946, 15 U.S.C. §§ 1051. National Association ofTobaccoOutlets v.City of Providence, 731 F.3d 71 (2013). U.S. Food and DrugAdministration. (2016).The facts on the FDA’s new tobacco rule. U.S. Department of Health and HumanServices. Retrieved from https://www.fda.gov/ForConsumers/ConsumerUpdates/ucm506676.htm FederalTrade Commission. (2018). FederalTrade Commission. Retrieved from https://www.ftc.gov/