Bloggers and Tweeters being investigated by FTC

July 6, 1:21 PMWatchdog Politics ExaminerMartha R Gore

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Bloggers and Tweeters that take remunerations for mentioning products or companies in their messages may soon come under new Federal Trade Commission (FTC) guidelines.   The probe will also apply to false claims that are used for the purpose of promotion.

It is expected that the FTC will mostly focus on the larger and/or the most active offenders who are pretending to provide unbiased reviews while actually hawking a product or a company and getting paid for it.

It will be the first time that the FTC has become involved in what bloggers and tweeters say and do online to the extent that it would penalize false claims. There would first be a warning, a cease and desist order to be followed by actual penalties if not heeded. To avoid being tagged, the writer must disclose the information if there is compensation-- monetary or in gifts-- involved.

There are already FTC rules that ban deceptive and unfair businesses practices.  The new guidelines, which will come out later in the summer of 2009, will clarify the law and specifically include bloggers who are defined as anyone writing a personal journal online.

To read the entire articles, go to:

http://tech.yahoo.com/news/ap/20090621/ap_on_hi_te/us_tec_bloggers_freebie_disclosures

http://www.businessweek.com/technology/content/may2009/tc20090518_532031.htm

To read proposed guidelines, go to:

http://www.ftc.gov/os/2008/11/P034520endorsementguides.pdf