This is an exam of lesson 6. Communication 300
The Supreme Court said in Valentine v. Christensen (1942) that purely commercial advertising is protected by the First Amendment.
The Supreme Court said in Virginia State Board of Pharmacy (1976) that commercial transactions are not protected by the First Amendment because they have no social, cultural, philosophical, or political content.
The Supreme Court reasoned in Virginia State Board of Pharmacy (1976) that commercial speech contributes to public decision-ma
The Supreme Court said in Virginia State Board of Pharmacy (1976) that since the First Amendment protects purely commercial advertising, the government may not regulate ads that are false, misleading, deceptive, or that promote illegal products or services.
Absolutely is the least severe that will a. achieve the desired effect
Is narrowly tailored to achieve the desired objective
Directly advances the governmental objective
Uses the least restrictive means possible to serve the governmental interest
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In Posadas (1986), the Supreme Court found that the Puerto Rican government's ban on casino advertising was constitutional under the Central Hudson Test
Government must provide solid proof that supports government claims that regulations on advertising satisfy the Central Hudson Test.
Government must provide solid proof that supports government claims that regulations on advertising satisfy the Central Hudson Test.
In Liquormart (1996) the Supreme Court indicated that the government has broad discretion to suppress truthful, non-misleading information for paternalistic purposes
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True
False
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Commissioners are nominated by the President and confirmed by the Senate
There are no regional offices throughout the country. All FTC business is conducted in Washington, D.C.
It focuses on state and local advertising, as well as national advertising
FTC investigations are triggered only by Congressional inquiries. Consumers and competitors may not complain directly to the FTC.
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It must contain a representation or omission of information that is likely to mislead
The representation or omission must be material.
The representation or omission must be likely to mislead any member c. of the consuming public.
The representation or omission must be likely to cause harm
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Overtly stated
Implied
Likely to affect a consumer's decision
Likely to cause material harm
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Advisory opinions
Policy statements
Rulemaking
Consent agreements
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Advertisers and ad agencies must be able to provide evidence for explicit and implicit statements made in their advertising claims
If an advertiser is ruled against by an administrative law judge, he or she may appeal that decision directly to the U.S. Supreme Court.
When advertisers sign a consent agreement, they generally do not admit liability for false or misleading advertising.
Instead of working through administrative remedies, the FTC sometimes goes directly to federal court to seek an injunction against an advertiser
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The FTC supports self-regulation by online (Internet) advertising industries. (It does not think that legislation is necessary.)
The NAD (National Advertising Division) is a federal agency, and it can force an advertiser to comply with its decisions.
The CARU (Children's Advertising Review Unit) is part of the Council of Better Business Bureaus.
CARU guidelines for advertising to children include the standard that advertisers should not make advertising appeals directly to children under the age of 8.
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Corporations enjoy many of the same constitutional rights as natural persons, including the right of privacy.
Time, place and manner restrictions do not apply in the practice of public relations because the First Amendment protects all corporate speech.
Public relations practitioners must understand business laws that apply to their activities, as well as PR and First Amendment laws.
Corporations do not have the right of publicity
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The text takes the position that PR practitioners are generally well advised to trust standard form contracts; that they are inherently safe legally
An indemnification clause in a PR practitioner's contract would protect the PR person from responsibility for legal action when material has been disseminated with the client's approval.
The central legal question in lawsuits over non-compete clauses usually revolves around the reasonableness of the clause in both duration and space.
Confidentiality agreements in PR contracts generally forbid any disclosure of information learned while working for a client
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According to the Supreme Court, free-lancers do not own the copyright a. to the works they create.
Public relations are generally considered to be "works for hire," and are therefore owned by the client.
If the copyright is assigned to the corporate client, the creators (the PR agency) lose all ownership rights.
A statement of ownership by the PR agency should be included in a proposal's title page to assure that the prospective client won't use the ideas presented in the proposal.
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If photos, film, or audio-visual materials are used commercially, PR practitioners should always get consent agreements or releases
Malice in trade is an unfair business practice in that it oversteps the proper bounds of competition by seeking to drive others out of business through malicious PR or actions.
Public relations practitioners must be alert to their duty to warn consumers of dangerous conditions associated with products they promote
When there is a conflict between state and federal law relating to corporate business practices, PR practitioners should base their behavior on state law (not federal law).
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True
False
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Corporate expression
Commercial expression
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Is protected by the First Amendment, just as false political speech is protected
Has no First Amendment protection whatsoever
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"Generecide" happens when a corporation loses protection of a trademark because it is no longer distinctive due to generic use.
Administrative agencies make their own regulations, enforce them, and provide initial judicial review. Their rules and rulings have the force of law.
The SEC (Securities and Exchange Commission) requires that corporate communications may not omit any material or significant fact or claim to the buying public
PR practitioners are considered by the SEC to be mere publicists with no responsibility for the accuracy of corporate financial statements which they help prepare. They have no responsibility to investigate the accuracy of such statements.
A PR practitioner who is not employed by a company could not be classified as an "insider" in an insider trading case.
The FDA (Food and Drug Administration) has to approve all press releases, advertising, package inserts, or other promotional copies about medical devices as well as prescription and non-prescription drugs
The Federal Trade Commission (FTC) does not regulate internet advertising because this is handled by state and local governments.
The FTC has no regulatory power over advertising d. for food and drug products.
Tape recording of press interviews is a good policy, if done in accordance with state law.
The journalistic category "for background" means that the information may be used but may not be attributed to the individual speaking.
Journalists' promises of confidentiality are legally enforceable.
PR practitioners and their corporate clients should never do or say anything they do not want disseminated by the media
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