The popular social media platforms, such as Twitter, Facebook, LinkedIn and the like, are benefiting businesses by enabling them to increase their network of connections and contacts.
These platforms are being increasingly used for marketing purposes to cut costs and save time. However, conveying wrong or exaggerated information will invariably attract legal action from competitors.
It is important for companies to address the gray areas by avoiding taking legal risks on the social media.
#1 Tip: Avoid false or misleading advertising
In order to grab maximum eyeballs, many companies and the advertising agencies associated with them, start playing to the gallery by posting exaggerated claims for their products or services. The laws of the Federal Trade Commission (FTC) that govern false or misleading advertising in traditional print media are also applicable to social media.
To this end, companies must take extra precautions in regulating what is being posted online. Businesses should play it fair regarding their products and services, and be truthful and professional about what is being conveyed to the public. FTC is particularly sensitive about matter that directly affects consumers, especially their health and money.
The best way out for companies to prevent legal action is to give out clear guidelines, not only for advertising, but also for the conduct of their employees online. Companies should refrain from making exaggerated claims just to boost up business. It is good investment to have a lawyer on board to evaluate the company's social media activity.
#2 Tip: Discourage workers from sharing company issues online
There have been many instances where an employee has criticized his or her boss on the social media and got sacked. The company should not only discourage the employees from airing their personal grievances and opinions regarding the company they serve on the social media platform, but also prevent any company information or events at work going live on the social media, such as business ideas, promotions and employment issues.
The company should ensure that its workers maintain confidentiality regarding their personal information, client details, business secrets, company's profits or losses and suchlike information. It is best to have written guidelines on this matter and workers made to sign it.
#3 Tip: Don't infringe upon intellectual property rights and copyrights of competitors
Such infringement happens when companies are not careful. Such omissions and commissions have unsavory repercussions leading to stiff penalties. Companies must remain mindful of sharing others' content, such as infographics, text, images, videos that are easily available online, but are copyrighted.
#4 Tip: Never defame competitor
There is always a temptation to show the competitors' products or services in a bad light. Although harmless insinuations within limits are okay, but blatant defamation is certain to attract legal action. The company should be truthful about its own products or services and that of its competitor.
Conclusion
If companies adapt these four tips while making their presence felt on the social media, they are certain to not only reduce but eradicate legal risks.
The
popular social media platforms, such as Twitter, Facebook, LinkedIn and the
like, are benefiting businesses by enabling them to increase their network of
connections and contacts.
These
platforms are being increasingly used for marketing purposes to cut costs and save
time. However, conveying wrong or exaggerated information will invariably
attract legal action from competitors.
It
is important for companies to address the gray areas by avoiding taking legal risks on the social media.
#1 Tip: Avoid false or misleading
advertising
In
order to grab maximum eyeballs, many companies and the advertising agencies
associated with them, start playing to the gallery by posting exaggerated claims
for their products or services. The laws of the Federal Trade Commission (FTC) that
govern false or misleading advertising in traditional print media are also
applicable to social media.
To
this end, companies must take extra precautions in regulating what is being
posted online. Businesses should play it fair regarding their products and
services, and be truthful and professional about what is being conveyed to the
public. FTC is particularly sensitive about matter that directly affects consumers,
especially their health and money.
The
best way out for companies to prevent legal action is to give out clear
guidelines, not only for advertising, but also for the conduct of their
employees online. Companies should refrain from making exaggerated claims just
to boost up business. It is good investment to have a lawyer on board to evaluate
the company's social media activity.
#2 Tip: Discourage workers from sharing company
issues online
There
have been many instances where an employee has criticized his or her boss on
the social media and got sacked. The company should not only discourage the
employees from airing their personal grievances and opinions regarding the
company they serve on the social media platform, but also prevent any company information
or events at work going live on the social media, such as business ideas,
promotions and employment issues.
The
company should ensure that its workers maintain confidentiality regarding their
personal information, client details, business secrets, company's profits or
losses and suchlike information. It is best to have written guidelines on this
matter and workers made to sign it.
#3 Tip: Don't infringe upon intellectual
property rights and copyrights of competitors
Such
infringement happens when companies are not careful. Such omissions and
commissions have unsavory repercussions leading to stiff penalties. Companies
must remain mindful of sharing others' content, such as infographics, text,
images, videos that are easily available online, but are copyrighted.
#4 Tip: Never defame competitor
There
is always a temptation to show the competitors' products or services in a bad
light. Although harmless insinuations within limits are okay, but blatant
defamation is certain to attract legal action. The company should be truthful
about its own products or services and that of its competitor.
Conclusion
If
companies adapt these four tips while making their presence felt on the social
media, they are certain to not only reduce but eradicate legal risks.
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