NEW NORMS FOR CELEBRITY ENDORSEMENTS

June 22, 2022

The Government of India has tightened norms for endorsers, including celebrities and sportspersons, as they are now required to make material connection disclosures and undertake due diligence while doing advertisements.

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According to new guidelines released by the Consumer Affairs Ministry, endorsements must reflect the honest opinions, belief or experience of the endorsers.
The endorsers have to make material connection disclosures and failing to do so will attract penalty under the Consumer Protection Act (CPA).
Material disclosures mean any relationship that materially affects the weight or credibility of any endorsement which a reasonable consumer would not expect.
Violation of these guidelines will attract a penalty of ₹10 lakh for the first offence and ₹50 lakh for the subsequent offence, under the CPA.
The new guidelines “Prevention of misleading advertisements and necessary due diligence for endorsement of advertisements”, which came into effect in June 2022, have been issued to prevent misleading advertisements.

Source : The Hindu