The online and mobile game company Lumosity recently agreed to pay $2 million to settle unsupported claims that its “brain training” games would help people to avoid declines in memory and cognitive abilities. Loeb & Loeb partner, David Mallen is quoted on the FTC’s position, saying that it reflects its view that any connections between endorsers and the brand must be disclosed. “The principle is that it affects the credibility of the message, even if the content hasn’t been scripted or influenced directly by the brand,” he says.
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Co-Chair, Advertising Disputes; Chair, Retail & Consumer Brands