The Federal Trade Commission recently revised their rules for endorsements and testimonials.

Blogs will now be covered by the Guides Concerning the Use of Endorsements and Testimonials in Advertising last updated in 1980. So what does this mean? Well, effectively, the new rules are intended to be applied to those bloggers who write content for money. But it also extends to websites like Soldier Systems Daily who receive paid overt advertising. Additionally, it extends to any blog that writes reviews of products.

From the FTC’s statement, “The revised Guides also add new examples to illustrate the long standing principle that “material connections” (sometimes payments or free products) between advertisers and endorsers – connections that consumers would not expect – must be disclosed. These examples address what constitutes an endorsement when the message is conveyed by bloggers or other “word-of-mouth” marketers. The revised Guides specify that while decisions will be reached on a case-by-case basis, the post of a blogger who receives cash or in-kind payment to review a product is considered an endorsement.”

What the blogger needs to do is to disclose to the reading public any compensation received for an “endorsement’. From what we have been led to believe this includes material as well as monetary compensation. For example, if a writer prepared a review of a day pack and was allowed to keep it after the review, the writer would be required to disclose this to the readers. It has been suggested that bloggers should also disclose if a product was provided solely on an “on loan” basis. CMP.LY has produced a set of banners that can be used on a web site to provide disclosure to the readers.

So could this also extend to forums? It should. We have all seen ghost accounts created for use by shills eager to pump up their brand’s cred. And then there are the internet “experts” who provide “free” advice that always seem to point toward the company that is supplying them with free kit. This is particularly rampant in the firearms business. It would be nice to see some of these connections come to light. Additionally, forum goers who are employees of companies will need to disclose this as well. As for forums, no one is sure as of yet who would be fined in the event of a violation; the forum or the poster.

So, for the record, Soldier Systems Daily receives paid advertising and the reader can readily see our advertiser’s banners openly displayed. No endorsement is granted or implied for any other products or services unless specified in writing.

Ultimately, we aren’t lawyers and we still aren’t sure how this will be implemented or enforced but with violators facing an $11,000 fine, it’s good to at least be informed that this is coming and to begin to develop a strategy on how to deal with it. If you are concerned that your website, blog, or forum will be affected by this we suggest you start planning now.

We want to remind everyone that Soldier Systems Daily is a media partner of the 2009 Soldier Equipment & Technology Expo & Conference, November 17-18 in Fayetteville, North Carolina. This relationship gives us access to report from the show floor as well as conference sessions. What’s more, Soldier Equipment & Technology Expo & Conference sponsor IDGA has graciously extended a 25% discount to SSD readers for full conference attendance as well as FREE exhibits-only passes.

The program will include a variety of speakers who will provide insight into current requirements and the state of the industrial base.

For additional information and access to your free or discounted tickets visit www.soldierequipmentexpo.com.

As many of you may already know our industry lost a great Warrior on Sunday, October 4th. James nelson Sudderth, SGM, US Army (Ret) was struck very suddenly by a heart attack. He labored tirelessly and friends have told me that they were working with him as late as Saturday. I met Jim when he assumed the position of the Director of Sales for Source One Distributors but his service goes much further. He served for over 20 years in the US Army rising to the rank of Sergeant Major and serving in the most elite of our forces including 82d Airborne Division, 1st Ranger Battalion, 7th Special Forces Group, and 1st Special Forces Operational Detachment-Delta. Jim is featured in the book, “Six Minutes to Freedom” detailing the rescue Kurt Muse rescue.

After his retirement he managed the Counter Terrorism Support Project from his home base in Las Vegas as well as in key management positions with several organizations including Bechtel and the University of Nevada. Unfortunately, Soldier Systems Daily is too small a space to capture a man’s life, his accomplishments, and to truly articulate how he touched other’s lives.

He will be missed.

Jim is survived by his two sons Kenny Sudderth and Riley Sudderth, mother Ann, father James, and brother Asa.

There will be a Memorial Service held Saturday at 4:00 PM, Saturday, October 10th, 2009 at the Palms West Funeral Home. For those wishing to donate in memorial to Jim we suggest one of these two causes:
James Patrick “Riley” Sudderth – Education Trust or The American Heart Association.