Brands that persistently break advertising rules could find themselves facing legal action sooner after a metamorphosis within the ad watchdog’s legal backstop.
Earlier referrals possible after ASA switches legal backstop to Trading Standards.
The Advertising Standards Authority today (21 November) announced it is going to now be referring repeat offenders to Trading Standards to think about legal sanctions. The Office of Fair Trading, which has fulfilled the role, is to shut in April 2014 and its successor, the contest and Markets Authority will now not consider advertising cases.
It is known Trading Standards will lower the edge that the ASA can refer things for a re-assessment meaning persistent offenders might possibly be referred earlier. Previously, the OFT insisted all self-regulatory avenues be exhausted before referrals may be made.
It can also be hoped the recent arrangement will result in a more joined up approach between. There was criticism from brands which have had action taken against them by both bodies concurrently.
The arrangement covers non-broadcast ads only. Trading Standards could take action under consumer and business protection laws.
ASA chief executive Guy Parker says: “We already enjoy a detailed and effective working relationship with Trading Standards. This new arrangement may also help us become more joined-up and consistent in addition to giving consumers and business confidence that an advertiser who doesn’t play by the guidelines will face the results.”
Previous referrals by the ASA include Groupon, which agreed to modify its marketing practices following an investigation by the OFT.