FOR RELEASE: DECEMBER 11, 1992
FTC DENIES CSC'S PETITION TO PROMULGATE RULE
ON PRODUCT PLACEMENT IN MOVIES
The Federal Trade Commission today denied a petition
requesting that it require disclosures to audiences when
manufacturers pay to have their products placed in movies.
In a petition filed last year, the Center for the Study of
Commercialism (CSC), five other organizations and three
individuals, asked the FTC to order motion picture companies to
stop using undisclosed product placement in movies, and require
production studios to disclose paid for product placements at the
beginning of any film containing them, among other things.
The FTC's letter in response to the petition said that, "Due
to the apparent lack of a pervasive pattern of deception and
substantial consumer injury attributable to product placements,
the Commission has determined that an industry-wide rulemaking is
inappropriate at this time." If, however, particular instances
of product placement arise where there is significant evidence of
consumer injury, the Commission said it would consider these
matters on a case-by-case basis.
Copies of the petition and the Commission's response are
available from the FTC's Public Reference Branch, Room 130, 6th
Street and Pennsylvania Avenue, N.W., Washington, D.C. 20580;
202-326-2222; TTY 1-866-653-4261.
# # #
MEDIA CONTACT: Brenda A. Mack, Office of Public Affairs
202-326-2182
STAFF CONTACT: Judith Wilkenfeld, Bureau of Consumer
Protection, 202-326-3150
or
Beth Grossman, Bureau of Consumer Protection
202-326-3019
(FTC File No. P914518)
(csc-Pet)