CFBAI_ProgramBackgrounds_4-28-2020

National Advertising Division

The National Advertising Division (NAD) monitors national advertising in all media, enforces high standards of truth and accuracy, and efficiently resolves disputes to build consumer trust and support fair competition. NAD reviews advertising based on challenges from businesses, complaints from consumers, or on its own monitoring initiative covering a wide variety of both industries and issues. NAD’s decisions represent the single largest body of advertising decisions in the U.S. 

Program Impact

NAD was established in 1971 to monitor and evaluate the truth and transparency of national advertising. NAD handles about 150 cases each year and publicly reports its findings. Its formal decisions are available in the Online Archive and provide guidance on truthful and transparent advertising and standards for substantiating advertising claims. Advertising can be challenged using NAD’s standard procedure (a 4-6 month process) or using Fast-Track SWIFT (decisions in less than one month). National partners pay a discounted filing fee.

Truth & Transparency

Voluntary self-regulation helps create an honest and fair marketplace. Companies benefit from a level playing field and consumers benefit from a more trustworthy marketplace. A 90% participation rate demonstrates the depth of industry’s commitment to self-regulation and truth and transparency.

Issues & Products

NAD’s legal team specializes in examining advertising claims for a diverse set of goods and services like telecommunications, infant nutrition, over-the-counter medication, and dietary supplements for a wide variety of issues from product efficacy to influencer marketing and the use of consumer reviews.

Saving Time & Cost

The NAD process resolves advertising disputes efficiently and almost always faster than a court proceeding. There is no document discovery or depositions, no counterclaims, and the process requires less investment in time and cost than litigating a case.

Navigating Uncertainty

NAD has a published body of case precedent and is staffed by decision makers dedicated to resolving advertising disputes, using a process that provides advertisers the right to appeal adverse decisions to the National Advertising Review Board (NARB).

Principles & Procedures


When a competitor’s advertising harms consumer trust or threatens a company’s reputation and market share, decision makers have options. They can bring suit under the Lanham Act, complain to federal or state regulators, or more quickly and efficiently challenge that advertising in an industry-supported forum.   

 

In a standard challenge, a party can challenge the truth and accuracy of advertising involving a single claim or multiple claims and presents evidence and argument in up to two submissions with a resolution in about 4-6 months. Fast-Track SWIFT challenges can be used to dispute the truth and accuracy of a single issue with resolution within a month. 

News & Blog

Decision

NAD Recommends Verizon Discontinue Certain 5G Availability and Speed Claims in Two TV Commercials

The National Advertising Division (NAD) determined that, in the context of two television commercials touting Verizon’s rollout of 5G service in cities across the country, challenged by AT&T Services, Inc., certain express and implied claims regarding the breadth of Verizon’s 5G coverage...
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Press Release

Direct Selling Self-Regulatory Council Issues New Guidance on Earnings Claims for the Direct Selling Industry

BBB National Programs’ Direct Selling Self-Regulatory Council (DSSRC), in partnership with the Direct Selling Association (DSA), today released new Guidance on Earnings Claims that defines and identifies earnings claims to ensure all representations made by direct-selling companies or members of their salesforce comply...
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Blog

All About SWIFT: Resolving Straightforward Ad Disputes in a Matter of Weeks

On May 13, Laura Brett, VP of our National Advertising Division (NAD) joined Loeb & Loeb’s David Mallen to discuss the new Fast-Track SWIFT process. The SWIFT process has been officially launched and the NAD team has begun processing claims.
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Upcoming Events

CARU Conference: Virtual Series

The CARU Conference: Virtual Series is the leading event for marketing and legal executives dealing with kids’ advertising and privacy. The can't-miss sessions will make you more knowledgeable and kee ...
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Jun 23, 2020 Virtual

NAD 2020 Conference

The NAD 2020 Annual Conference convenes adlaw experts from across the country to share practical advice on the day-to-day challenges of a competitive environment and look to the future as they dissect ...
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Oct 05, 2020 Virtual
 

 

 

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