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Belch: Advertising and
Promotion, Sixth Edition
VII. Special Topics and
Perspectives
21. Regulation of
Advertising and Promotion
The issue of professional advertising, particularly by attorneys, is still hotly
debated. Some traditional law firms resist using advertising, particularly on TV, due to
concern that it might hurt the profession’s image. Many in the legal profession worry
that ads soliciting personal injury victims only worsen the public’s perception of attorneys.
A sizable faction within the American Bar Association blames the legal profession’s
image problem on sleazy ads. The ABA’s Commission on Advertising recently
held a series of public hearings on what, if any, restrictive measures to recommend to
state ethics panels. Some states, such as Iowa and Florida, already restrict the content
of attorney ads and the way they can be delivered. For example, Iowa lawyers are limited
to “tombstone” print ads that merely list their name, location, and objective qualifications.
And all ads require a disclaimer urging consumers not to base their attorney
selection on an advertisement. Florida attorneys cannot use testimonials or endorsements,
dramatizations, self-laudatory statements, illustrations, or photos. 14
Many attorneys are incensed over efforts to restrict their rights to promote themselves
because they use advertising to help build their practices. Several cases are currently
being litigated, but ultimately the Supreme Court may have to decide just how
far states can go in curtailing advertising.
Although industry associations are concerned with the impact and consequences of
members’ advertising, they have no legal way to enforce their guidelines. They can
only rely on peer pressure from members or other nonbinding sanctions to get advertisers
to comply.
Self-Regulation by Businesses
A number of self-regulatory mechanisms have been established by the business community
in an effort to control advertising practices. The largest and best known is the
Better Business Bureau (BBB), which promotes fair advertising and selling practices
across all industries. The BBB was established in 1916 to handle consumer complaints
about local business practices and particularly advertising. Local BBBs are located in
most large cities throughout the United States and supported entirely by dues of the
more than 100,000 member firms.
Local BBBs receive and investigate complaints from consumers and other companies
regarding the advertising and selling tactics of businesses in their area. Each local office
has its own operating procedures for handling complaints; generally, the office contacts
the violator and, if the complaint proves true, requests that the practice be stopped or
changed. If the violator does not respond, negative publicity may be used against the
firm or the case may be referred to appropriate government agencies for further action.
While BBBs provide effective control over advertising practices at the local level,
the parent organization, the Council of Better Business Bureaus, plays a major role
at the national level. The council assists new industries in developing advertising
codes and standards, and it provides information about advertising regulations and
© The McGraw−Hill
Companies, 2003
Exhibit 21-2 Advertising
by lawyers has become
more common as the result
of a 1977 Supreme Court
ruling
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Chapter Twenty-one Regulation of Advertising and Promotion