Business law

Avoid problems in advertising contracts

When it comes to advertising, in fact, it is talking about something very extensive, something that encompasses many aspects and involving many actors involved. When discussing advertising we can speak of countless variables and variants. In this article we will focus from the aspect of the advertising company that hires a person to advertise the brand, the contractual relationship that binds them and how to avoid problems in advertising contracts.

problems in advertising contracts

In this article, we will focus on the most intimate, the most important part and sometimes complex of advertising: the relationship between star advertising a specific product and advertiser brand.

Obviously, in this case, there is also a large number of variables that can be applied and apply to the business relationship of the parties. This is so because both the general conditions and the particularities of the relationship will change greatly depending on what is announced, the format in which it is announced, the support, etc. Therefore, in this article, we will focus on some of the most general and common considerations to be taken into account.

The first and highest premise to consider in any contract and, of course, then in any advertising contract, is the need to detail it all as much as possible in order to minimize potential future problems that may arise.

Obviously, it will never be possible to detail everything perfectly, but the more you can detail anything that might appear to present or future in the contractual relationship will be spelled out well. And even more so in the case of celebrities that lend themselves to the realization of advertising, with this type of people the complexity increases and a simple contract for an advertisement can contain a huge number of pages with thousand quantity and general conditions, particular conditions, clauses, etc.

The first thing to contain any such contract is undoubtedly its scope: What to going to advertise? Who is going to announce? Who is the advertiser? All these questions are some of the first issues to be resolved and contain any contract.

Once defined the framework of the contract it is essential also determined the scope of duration in time of what is going to advertise and how to be announced. The latter is of vital importance because, at a time like the present, where ways to advertise a product are thousand is not the same as a celebrity pose on an image for the company in advertising spaces, which are made advertisements that it becomes “influencer” in the social networks of the brand, to become a global brand ambassador or simply that is required to look.

Since it is logical, the remuneration to be received by it is also very important, and must be marked image rights and whether or not that advertises other products from other brands. If there is, if the exclusivity to advertise a product is total or if only reaches to the same range of products of the company that hires him, etc.

Then there will be other, more detailed, more personalized and less common clauses, but no less important, on the contrary. Within this line of conditions to incorporate must, for example, indicate the consequences that may result in damage to the brand image for bad behavior or action of the contract, the right brand to terminate the contract if that represents the contract is vitiated by changes of appearance or attitude on this, as well as compensation that may apply for making mistakes that damage the brand.