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NAD Sure Don’t Like Those Christmas Cookies Babe

By Amy Mudge & Randy Shaheen on December 17, 2015

Well not exactly.  They do not care for Indonesia Butter-Flavored Cookies labeled as Danish Butter Cookies.  But it gave us an opportunity to share one of our favorite country Christmas songs from George Straight with our dear readers:

We blogged about this case when it came out this summer.  The NAD recommended the company discontinue express and implied claims about its country of origin and its recipe, which included butter and another shortening ingredient.  It served as a cautionary tale for importers being liable at NAD for claims made on products they sell.  Recently the NAD referred the seller to the FTC for failure to comply with the decision.  The case gives advertisers some good information about what NAD expects as far as compliance.  Advertisers often ask how long the NAD will allow for a company to come into compliance, particularly when it comes to packaging.  In this case, NAD felt the company had not made significant progress within 7 months.  The company told NAD they had not implemented the changes because the product had changed so butter was the exclusive shortening ingredient.  NAD was not satisfied with the representation that the product was materially changed and said the company “failed to provide NAD with any substantiation of this fact (save for anecdotal evidence).”   It appears NAD will expect robust proof of a change in product composition in a compliance proceeding, and advertisers would do well to engage with the NAD staff to understand what they need to fully assess the change of circumstance.

  • Posted in:
    Communications, Media & Entertainment
  • Blog:
    All About Advertising Law
  • Organization:
    Venable LLP
  • Article: View Original Source

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