Social media sites are transforming not only the daily lives of consumers, but also how companies interact with consumers. Here at Morrison Foerster, across all of our practice groups, we are seeing complex, cutting-edge legal issues arising out of social media. As with the Internet boom during the mid-to-late 1990s, social media is generating new legal questions at a far faster pace than the law’s ability to provide answers to such questions. In an effort to stay on top of these emerging issues, and to keep our clients and friends informed of new developments, Morrison Foerster publishes this blog devoted to the law and business of social media.<h2>ABOUT MORRISON FOERSTER</h2>Morrison Foerster is a leading global law firm that transforms complexity into advantage for its clients. Our clients include some of the largest financial institutions, banks, consulting and accounting firms, and Fortune 100, technology, and life sciences companies. Highlighting the firm’s commitment to client service, leadership in market-changing deals and impact litigation, and values-based culture, Morrison Foerster has been repeatedly recognized as one of the top 10 firms on The American Lawyer’s A-List. Year after year, the firm receives significant recognition from Chambers and The Legal 500 across their various guides, including Global, USA, Asia‑Pacific, Europe, UK, Latin America, and FinTech Legal. Our lawyers passionately care about delivering legal excellence while living our values. Morrison Foerster has a long-standing commitment to creating a culture that respects and celebrates differences, while providing an inclusive environment. The firm has achieved Mansfield Certification Plus since 2018 as a result of successfully reaching at least 30 percent women, communities of color, and LGBTQ+ lawyer representation in a notable number of current leadership roles and committees. The firm also has a long history of commitment to the community and society through providing pro bono legal services, including litigating for civil rights and civil liberties, improving public education and fostering the wellbeing of children, advocating for veterans, promoting international human rights, enforcing the right to asylum, and safeguarding the environment.

Social

Search

sociallyaware-abajournalweb100-1

Aaron is the chair of the firm’s Technology Transactions Group and co-chair of the Interactive + Digital Media Group. He advises clients on a wide range of complex transactions involving intellectual property and technology, including structuring and negotiating strategic licensing, development, collaboration, procurement, and distribution deals.Aaron’s practice focuses on advising both established and emerging companies in a variety of data- and technology-intensive sectors, including software, SaaS, cloud-based technology, digital media (social media, AR/VR, gaming, streaming media, AdTech), AI, healthcare, consumer electronics, e-commerce, other online business models, and mobile applications. He also maintains an active practice counseling companies on branding and marketing, trademark licensing, and content-related transactions, as well as the intellectual property aspects of mergers, acquisitions, asset spin-offs, and private equity investments.He has represented clients such as Autodesk, Meta, OpenAI, Splunk, Konami, Kaiser Permanente, SoftBank, Visa, and Yahoo, among others.Aaron has been recognized by numerous publications for his work on market-defining technology transactions. He is currently ranked by Chambers USA for “Technology Transactions.”Aaron also serves as co-editor of Socially Aware, the firm’s award-winning newsletter and blog devoted to the law and business of social media, and regularly publishes on various IP and technology-related topics. Aaron is also a sought-after speaker on new and emerging areas of law, and is a frequent presenter and panelist at conferences and legal services programs. In addition to his active practice, Aaron regularly provides pro bono assistance to various nonprofit and charitable organizations such as Common Sense Media and the Starlight Children’s Foundation. He is a member of the board of directors of California Lawyers for the Arts.While in law school at the University of California, Berkeley, Boalt Hall School of Law, Aaron served as executive editor of the California Law Review and was elected to the Order of the Coif. Following law school, Aaron served as law clerk to the Honorable William H. Orrick and the Honorable Martin J. Jenkins, both United States District Judges for the Northern District of California.

rubin_aaron_blog_150x150.png

rubin_aaron_common_640x280.jpg

rubin_aaron_heroretina_2700x1160.jpg

rubin_aaron_mobileretina_750x1040.jpg

rubin_aaron_social_600x600.jpg

Partner

Aaron is the chair of our Technology Transactions Group. He advises clients on a wide range of complex transactions involving intellectual property and technology, including structuring and negotiating strategic licensing, development, collaboration, procurement, and distribution deals. Aaron’s practice focuses on advising both established and emerging companies in a variety of data– and technology–intensive sectors, including software, SaaS, cloud computing, AR/VR, AI, gaming, healthcare, consumer electronics, social media, e–commerce, other online business models, and mobile applications. He also maintains an active practice counseling companies on the intellectual property aspects of mergers, acquisitions, asset spin–offs, and private equity investments.

Aaron P. Rubin

Lawrence Gallick is of counsel in the firm’s Austin office and a member of the Technology Transactions Group.Lawrence focuses his practice on technology transactions and licensing matters. His diverse experience includes advising on SaaS agreements, cross-licensing agreements, research and collaboration agreements, development agreements, and distribution agreements. He counsels a broad range of companies across the software, hardware, life sciences, biotech and FinTech spaces, as well as other entities including universities.He advises clients in connection with general corporate matters including contract negotiations, and leasing and technology placement agreements.Lawrence also serves as co-editor of <a href="https://www.sociallyawareblog.com/" target="_blank">Socially Aware</a>, the firm’s award-winning newsletter and blog devoted to the law and business of social media, and regularly publishes on various IP and technology-related topics.Prior to joining the firm, Lawrence was counsel at another major law firm. Before earning his law degree, Lawrence was a web consultant, project manager, and web developer in Portland, Oregon, where he managed and consulted on projects using industry methodologies and performed custom development and integration of content management systems.Lawrence was named a Super Lawyers “Rising Star” in 2015 and 2018–2022, and is licensed in both California and New York. Lawrence earned his J.D. from the University at Buffalo School of Law, where he was the electronic systems editor for the Buffalo Law Review and awarded the ABA-BNA Award for Excellence in the Study of Intellectual Property Law.

gallick_lawrence_blog_150x150.png

gallick_lawrence_common_640x280.jpg

gallick_lawrence_heroretina_2700x1160.jpg

gallick_lawrence_mobileretina_750x1040.jpg

gallick_lawrence_social_600x600.jpg

Of Counsel

Lawrence Gallick

Anthony Ramirez is a partner in the Technology Transactions Group in the New York office of Morrison Foerster.Anthony advises clients on general commercial and transactional matters. He regularly advises companies on the IP aspects of their M&A transactions. His clients include technology, digital media and content for television and music, financial services, and communications companies with diverse intellectual property assets and issues.His practice focuses on the legal aspects of developing, licensing, and commercializing technology and intellectual property, as well as negotiating general commercial contracts, including outsourcing transactions, as well as content and data licenses. He regularly assists clients with legal issues relating to licensing and commercialization of digital media and content, digital content that is distributed over the Internet or streamed, mobile applications and social media, as well as the licensing of recorded music for distribution via digital platforms. Anthony is also experienced with issues relating to open-source software, software development, artificial intelligence and machine learning, cloud-based technology, and protection of proprietary information.Anthony has extensive experience working on matters involving disruptive technologies, such as blockchain. He has helped fintech clients with general intellectual property issues in connection with terms of service for online financial products and services.Anthony is an integral part of the outside pro bono legal team for nonprofit organizations based in New York, including advising clients on legal issues regarding entertainment, social media, privacy rights, and the negotiation of outsourcing and service agreements. Anthony received his J.D. from the University of Michigan Law School in 2009. He received his B.S. from Cornell University in 2004.

ramirez_anthony_blog_150x150.png

ramirez_anthony_common_640x280.jpg

ramirez_anthony_heroretina_2700x1160.jpg

ramirez_anthony_mobileretina_750x1040.jpg

ramirez_anthony_social_600x600.jpg

Anthony Ramirez is a partner in the Technology Transactions Group in the New York office of Morrison Foerster. He advises clients on general commercial and transactional matters. His clients include technology, media, and communications companies with considerable intellectual property assets. His practice focuses on the legal aspects of licensing and commercializing technology and intellectual property, as well as negotiating general commercial contracts. He also regularly assists clients with legal issues relating to mobile applications and social media.

Anthony M. Ramirez

favicon.ico

favicon-16x16.png

favicon-32x32.png

apple-touch-icon.png

MoFo Favicons

Socially Aware is devoted to the law and business of social media, proactively addressing emerging issues and keeping our clients informed of new developments. We cover fields such as artificial intelligence, privacy and data security, Section 230, intellectual property, and much more.

Welcome to Socially Aware

240920-socially-aware-header.jpg

Welcome to Socially Aware

240920-socially-aware-header

Socially Aware is devoted to the law and business of social media, proactively addressing emerging issues and keeping our clients informed of new developments. We cover fields such as artificial intelligence, privacy and data security, Section 230, intellectual property, and much more.

News and Announcements

Blog - Terms of Use

Blog - Privacy Policy

Blog - Blog Disclaimer

Blog - Attorney Advertising

morrison-foerster-blog-logo.png

Provides a data-driven look at the Federal Circuit.

Federal Circuitry

Brings together legal insights and in-depth analyses on trends and complex issues shaping the global technology industry.

MoFo Tech

Mofo Tech

Equips our clients with the most up-to-date and relevant information on employment and labor law issues.

Employment Law Commentary

In-depth analysis of developments and trends impacting government contracting.

Government Contracts Insight

Government Contracts Insights

Provides insights and reports on the most current class actions lawsuits and product liability issues that affect consumer-facing companies.

Class Dismissed Blog

Class Dismissed

MoFo’s Socially Aware blog provides timely updates and analysis of the many complex and cutting-edge legal and business issues arising out of social media.

Socially Aware

  Linkedin

MoFo LinkedIN

Socially Aware Blog - RSS

Stay Connected

Never miss a post from Socially Aware. Enter your email below to stay up-to-date.

Subscribe

The Law and Business of Social Media

Morrison Foerster - Footer

Advergames are online video games that are created in order to promote a brand, product or organization by immersing a marketing message within the game. They a

Blogs -  Home Button

Home

Blog - Topics

Web Scraping

Advertising

Antitrust

Arbitration

Artificial Intelligence

Asia

Autonomous Vehicles

Bankruptcy

Big Data

Blockchain

Class Actions

Cloud Computing

Compliance

Contracts

COPPA

Copyright

Crowdsourcing

Cyberbullying

Cybersecurity

Data Security

Defamation

Digital Content

Disappearing Content

Discovery

DMCA

E-Commerce

E-Discovery

E-Personation

Electronic Contracts

Employment Law

Endorsement Guides

Ephemeral Messaging

Ethics

European Union

Event

Fair Use

FDA Regulations

Financial Institutions

First Amendment

Fraud

Free Speech

GDPR

Hacking

Influencer Marketing

Infographic

Internet of Things

Investment Management Law

JOBS Act

Labor Law

Litigation

Live streaming

Marketing

Mobile

Online Contracts

Online Endorsements

Online Promotions

Online Reviews

Patent

Privacy

Product Liability

Protected Speech

Right of Publicity

Right To Be Forgotten

Section 230 Safe Harbor

Securities Law

Social Media Policy

Statistics

Status Updates

Stored Communications Act

Supreme Court

Terms of Use

Trademark

UK High Court

User-Generated Content

Wearable Computers

Topics

Blog - Editors

Editors

Blog - About

About

Blog - Subscribe

What Are the Rules of the Advergame in the UK?

What Are the Rules of the Advergame in the UK? | Socially Aware

Advergames are online video games that are created in order to promote a brand, product or organization by immersing a marketing message within the game. They are typically accessed via an organization’s website or app, or via a social media platform. Advergames are not particularly new. The concept of advertising via gaming has been around since the 1980s and the term advergame was included in Wired magazine’s Jargon Watch column back in 2001. In the early days of the advergame, though, the medium was generally embraced by brands that targeted the youth market.  These days, the growth of tablets, smartphones and mobile apps, as well as the rise in popularity of online gaming, has led to the increased adoption of advergames by a wide variety of organizations, including charities, financial services firms, car manufacturers, toy makers and government agencies.Given the increased challenges of traditional advertising, advergames are considered a great way to help increase brand awareness and engagement—whether an organization is promoting a new product, educating, trying to grow its market, carrying out market research, or reaching out to prospective recruits. A key benefit of advergames is that users interact with a brand for far longer than they would with traditional forms of advertising. The best advergames can go viral and provide worldwide exposure and a shelf-life much longer than that of a traditional advert. For example, in 2013 Chipotle, the Mexican fast food chain, published a <a href="http://venturebeat.com/2013/09/30/chipotle-scarecrow-is-the-future-of-advergaming-on-mobile/" target="_blank" rel="noopener">Scarecrow advergame </a>that was downloaded 250,000 times within four days of its release.In this post, we will consider some of the legal issues that organizations operating in the UK will need to consider when employing advergames as a marketing tool.Advertising RulesThe first issue that an organization will need to consider is compliance with applicable advertising rules, as advergames are very likely to be regarded as advertising. That’s certainly the case in the UK.In May 2012, the Advertising Standards Agency (ASA), the UK’s independent regulator of advertising, published guidance on the use of advergames. In the guidance, the ASA made clear that advergames in paid-for space online are covered by the relevant rules of the UK Code of Non-broadcast Advertising, Sales Promotion and Direct Marketing (<a href="https://www.asa.org.uk/codes-and-rulings/advertising-codes.html" target="_blank" rel="noopener">the CAP Code</a>). In addition, advergames that are made available on an organization’s website or app or via a social media platform under the organization’s control, and that are directly connected with the supply or transfer of goods, services, opportunities or gifts, must comply with the CAP Code.Particular issues arise when advergames are considered appealing to children. The CAP Code includes an overarching principle that marketers must be careful when addressing children in marketing, and must bear in mind that children’s understanding of, and reaction to, marketing communications will be affected by their age and experience, and the context in which the message is delivered. The CAP Code also requires that advertisements be obviously identifiable as such. When deciding whether an advergame complies with this rule, the ASA will consider the context in which the advergame is made available; any references to the product, brand or organisation in or around the game; and the target audience.To date, many of the complaints made to ASA about advergames concern their use by food manufacturers to promote foods perceived to be unhealthy. Under Rule 15.11 of the CAP Code, advertisements must not condone or encourage poor nutritional habits or an unhealthy lifestyle in children. In addition, Rule 15.15 states that, in general, food advertisements that are targeted directly at pre-school or primary school children must not include licensed characters or celebrities popular with children.By way of example, in 2012, the ASA considered a Krave cereal advergame made available to Facebook users who had, via their Facebook profile information, confirmed themselves to be aged 16 or over.  The advergame featured a character, the Krave Krusader, which players controlled in order to collect chocolate and score points. The complainant considered that the advergame encouraged poor nutritional habits and an unhealthy lifestyle in children in breach of the CAP Code. However, the ASA rejected the complaint, precisely because the advergame was targeted at Facebook users over the age of 16.In the same year, the <a href="http://asa.org.uk/Rulings/Adjudications/2012/8/Swizzels-Matlow-Ltd/SHP_ADJ_196069.aspx" target="_blank" rel="noopener">ASA considered</a> advergames published on the website of a confectionary manufacturer, www.swizzels-matlow.com. It held that a “Cola Capers” game that was (i) relatively long in duration, (ii) aimed at young children, and (iii) condoned eating a large number of sweets while hiding such consumption from the user’s parents irresponsibly encouraged poor nutritional habits and an unhealthy lifestyle in children. In addition, it held that certain games involving the character Scooby Doo were aimed at primary-school children and therefore in breach of the CAP Code.It only takes one complaint for the ASA to investigate an advergame, and if the ASA upholds the complaint, the offending advertisement is very likely to be banned. As the ASA is a non-statutory body it does not have the power to fine advertisers or take advertisers to court.However, some parties want more action. In March 2014, the UK’s Local Government Association (LGA), which represents almost 400 councils in England and Wales, called for pop-up health warnings to accompany “addictive” advergames used by food firms “targeted at children.” The <a href="http://www.asa.org.uk/News-resources/Media-Centre/2014/Food-advertising-and-children-Making-sure-we-have-a-healthy-debate-part-2.aspx" target="_blank" rel="noopener">ASA responded</a> to this call by making reference to its recent bans and stating that it would not hesitate to ban any other advergames that breached the CAP Code. However, in May 2014, the University of Bath’s Institute for Policy Research issued a policy brief, Advergames: It’s not child’s play, looking at the use by food firms of advergames to promote high-salt, high-sugar and high-fat food and drink products. The brief concluded that children up to the age of 15 do not recognize that advergames are advertising, and called for various actions, including an obligatory, clear, uniform labelling system for all children’s advergames. So, as you can see, this issue is not going away.Other IssuesIt’s not just a question of advertising rules. Some of the other key issues advertisers will need to consider when launching an advergame include:<ul><li>Terms of use for the advergame</li><li>Privacy and data protection laws</li><li>Consumer protection rules</li><li>Industry regulations affecting advertisements and promotions</li><li>App store rules and restrictions</li><li>Prize promotion rules</li><li>Intellectual property rights in the advergame</li><li>Ownership of data</li><li>Contracts with third-party providers (e.g., the game developer)</li></ul>ConclusionAdvergames are a fun, interactive marketing tool. However, it’s important to comply with all applicable rules to make sure that your advergame doesn’t give you publicity for all of the wrong reasons.