[Cheat Sheet] Legal & Compliance for Marketers

Do you feel like your Legal & Compliance partners are constantly telling you “no”? The “Legal & Compliance for Marketers” cheat sheet will help you frame your marketing impact in a way that Legal & Compliance can understand and appreciate.

Introduction to the Cheat Sheet series

As a marketer, we spend a lot of our time thinking about the customer, the psychology, and the creativity of the campaigns, activations, and initiatives we produce. We’re like artists painting a Picasso or musicians scoring a Mozart. Sometimes, in the midst of our artistry, we forget the science of marketing. We forget to ask ourselves the burning questions that our partners (e.g. Finance, Product, Tech, etc.) like to know:

Why is marketing important? How do you know it’s working? Why should we care?

We used to be able to say “we trust our gut” or “it’s standard” but those days are gone. Now, we need data to support and validate our intuition.

As part of this Cheat Sheet series, we will breakdown some of the most important parts of our partner teams’ jobs and goals so marketers will have a better way of communicating our impact to them as well as be better business partners.

Legal & Compliance
for Marketers

Role of Legal & Compliance

Legal & Compliance’s remit is to be the keepers of your business’ integrity [1]. There are regulatory laws created by different governments to protect customers from being misled or lied to by businesses. These regulatory entities also safeguard consumer privacy rights by monitoring how companies collect, store, and use consumer data. It’s their job to ensure the business is following all types of laws, including advertising and marketing regulations, and more recently data governance.

Meaning:

Legal & Compliance cares to reduce risk. If they could include every legal disclosure within your marketing, they will. If you don’t have to collect any data on your customers, that’s what they’ll prefer.
Legal & Compliance are allergic to “new”. They don’t like being the “first” to do something because there are legal ramifications that can lead to millions and billions of dollars of lawsuits. Thus, if you’re looking to aggregate user-generated content on your business website for the first time, your Legal & Compliance team will be very nervous about the risk and liability of such action.

[1] Though the majority of the article is written through the lens of a business, this cheat sheet holds true for non-profit or for-profit organizations.

What does this mean for Marketers?

Marketing and legal departments often have different goals and priorities, which can lead to conflicts and misunderstandings. However, with careful planning and collaboration, marketers can work effectively with legal and compliance teams to create successful campaigns that are both effective and compliant with relevant laws and regulations.

Involve Legal & Compliance early in the planning process. This will help marketers avoid any pitfalls, conflicts and delays. Early involvement also helps provide guardrails for marketers for when they need to pivot without wasting more time.
Be familiar with the relevant laws and regulations that apply to their campaigns. This will help them avoid making common mistakes, such as making false or misleading claims, using copyrighted material without permission, or failing to comply with privacy laws.
Find a precedence. You’ve heard this term “precedence” in many legal dramas. This is because if someone else has gone through the trouble of due diligence and then (hopefully) operational design, then following their lead may help minimize risks. If you can find a business unit within your company who’s already got their legal buy-in to do a marketing initiative, then ask to see their SOP (standard operating plan).
Provide all relevant information and materials, including any copy, images, and other content that will be used in the campaign. They should also be prepared to answer any questions or concerns that the legal team may have. Ensure campaigns comply with relevant regulations. For example, if the campaign involves collecting personal data from customers, the compliance team will need to review it to ensure that it complies with privacy laws.
Work with Legal & Compliance to develop guardrails for marketers, so next time marketers can provide creatives that are more legally sound and compliant. While this may require some additional work and effort, it’s essential for ensuring that the campaign is compliant and successful.

Vocabulary… and How to Use Them

Advertising – the practice of promoting and selling products or services through various forms of media, such as television, radio, print, or online.
Compliance – the act of following laws, regulations, and policies that apply to a specific business or industry.
Consumer protection – laws and regulations designed to protect the rights and interests of consumers, such as fair pricing, accurate product labeling, and safe products.
Copyright – the legal protection of original works of art, literature, music, or other creative expression.
Endorsement – a public statement or action that shows support or approval of a product, service, or idea.
Federal Trade Commission (FTC) – FTC is an independent agency of the United States government that is responsible for protecting consumers from deceptive, fraudulent, and unfair business practices. The FTC enforces federal laws that prohibit false advertising, deceptive marketing, and other types of consumer fraud. The agency also works to promote competition and fair trade practices in the marketplace. The FTC is composed of five commissioners who are appointed by the President of the United States and confirmed by the Senate. The commissioners serve seven-year terms and are not eligible for reappointment. The FTC is headquartered in Washington, D.C. and has regional offices throughout the United States.
General Data Protection Regulation (EU) (GDPR) – GDPR is a regulation in EU law on data protection and privacy for all individuals within the European Union (EU) and the European Economic Area (EEA). It also addresses the export of personal data outside the EU and EEA. The GDPR replaces the 1995 EU Data Protection Directive and strengthens the rights of individuals with regard to their personal data. It also imposes stricter rules on businesses and organizations that handle personal data, including the requirement to obtain explicit consent from individuals to process their data and the obligation to report data breaches. The GDPR applies to all companies, regardless of location, that process the personal data of EU and EEA citizens.
Intellectual property – legal protection of creations of the mind, such as inventions, trademarks, and artistic works.
Marketing – the process of identifying and satisfying customer needs and wants through the creation and promotion of products or services.
Privacy – the right to keep personal information, such as one’s name, address, and medical history, confidential.
Trade secrets – confidential information that is not generally known and gives a company an advantage over its competitors.
Trademark – a symbol, word, or phrase used to identify and distinguish a particular product or service from others in the market.

Key phrases to use with Legal & Compliance

“How can we ensure that our marketing campaigns are compliant with regulations and laws?”
“Can you provide us with guidance on acceptable language and imagery for our marketing materials?”
“What are the potential risks and liabilities associated with our marketing plans and tactics?”
“Can you review our marketing contracts and agreements to ensure that they are fair and reasonable?”
“What are the key considerations and requirements for marketing to specific demographics or industries?”