Cover Story

CORROSIVE CELEBRITY-INFLUENCED ADVERTISEMENTS NEED LEGAL ANTIDOTE

The term ‘Hero’ denotes a person who is admired for his courage, outstanding achievements or noble qualities. The hero is a character who in the face of danger, combats adversity through feats of ingenuity, courage or strength. The hero is a role model, looked by others as an example to be imitated. According to Cambridge dictionary ‘hero worship’ is a feeling of extreme admiration for someone, imagining that they have qualities or abilities that are better than anyone else’s.
However, gone are the days when hero worship provided the elevation of human spirit. Today, the concept of role model has shifted from personalities of heroic deeds to film actors, singers, musicians, models, cricketers, wrestlers and the likes, who are simply the professionals in their respective fields, but through constant projection and exhibition on silver screen they have somehow gained support from the vast majority of feeble and impressionable minds, mostly teenagers, who out of peer pressure act like ‘you clap, so I clap’ manner.

The manufacturers and service providers for the last few decades have been spending huge amounts of budgets by engaging marketers, advertisement agencies to engage celebrities, influencers for endorsement of their product to make advertisements believable and to enhance consumer recognition of their brands. 

Celebrity endorsements as of now have become the most effective marketing tool in all types of advertisements, be it in electronic or print form, which can exert a great influence on consumers’ attitudes and buying intentions. Influencers cause great influence on the endorsed product.  However, for creating such a big influence upon the sale of the endorsed product, the so-called celebrities charge heavy amounts from the manufacturers/ businesses. Some celebrities charge up to 5 to 5.5crore a day to endorse brands. Several celebrities have also endorsed the co-ownership endorsement model by taking an equity stake in the product brand company. Another form of arrangement is a royalty agreement where the celebrity leases a brand to another company, which is in manufacturing and distribution. 

These influencers induce consumers by way of unsubstantiated claims. They lure consumers to sell ‘dreams’ through audio-visual and print media in the most persuasive manner. Such attempts create a desire in the mind of a consumer to purchase the product which otherwise was not his actual demand.

The main targets of these advertisers are: healthcare, personal care and education sector. According to the sources, out of total complaints received in the past, in Advertising Council of India (ASCI) about 90% were against misleading ads from the healthcare sector, which set high claims like curing diabetes, kidney stones, blood pressure, height increase, weight loss, skin fairness, among others. Such claims need to be substantiated with necessary scientific support, past record and research & analysis carried out. The sources added that almost 216 complaints against such deceptive and exaggerated advertisements were upheld.
Similarly, in November 2012, the Food Safety and Standards Authority of India (FSSAI) reportedly issued notices to 38 top selling brands, asking them to withdraw their ‘misleading’ ads. The brands included Complan, which claimed that one grow two times by using the product and Kellogg’s which claimed that research shows that people who eat low fat breakfast like Kellogg’s Special K, tend to be slimmer than those who don’t eat that. Horlicks claimed that children consuming Horlicks were taller, stronger and sharper.

In the similar fashion, in education sector, such tall claims exist in large numbers. According to a report released almost a decade back by ASSOCHAM and quoted in PIL case of Nemichand Jain Vs. Union of India, before High Court of Delhi, the business of coaching institutes with huge state-of-the-art buildings are fetching profits upto Rs. 1,50,000 crores per annum and is likely to touch more than Rs.2,35,000 crores by 2015. 

In December, 2013, The High Court of Delhi, in its interim order had directed the Indian Institute of Planning and Management (IIPM) not to publish any advertisement in print, television or online without the Court’s approval. The interim order came after the University Grants Commission submitted an affidavit underlining that IIPM advertisements could potentially mislead students, public at large.

The Central Consumer Protection Authority (CCPA), has recently imposed Rupees three lakh fine on New Delhi’s Maluka IAS coaching institute for advertising ‘misleading claims guaranteeing success’ in prelims and mains in UPSC civil service examination -2022. The institute had claimed that over 120 of its students were selected in the examination.

The CCPA chief commissioner Nidhi Khare said, “CCPA found out that the institute advertised various types of courses but information with respect to the course opted by the advertised successful candidates was concealed in the advertisement, thereby deceiving consumers into believing that successful candidates owe their success to coaching institutes. As a matter of fact the actual need of advertisement is to inform the consumers about the specification of a product, such as its price, feature, availability, sources, price, company name and its ingredients, but today with the advent of celebrity endorsed trend advertisement business has become the source of consumer bashing, extortion and cheating, which needs to be prevented with an iron fist.

There is no limit of mental torture caused to the viewer at the hands of the marketers. Since there is no opposition, protest or hue & cry from the viewers of the electronic devices, the advertisers take it for granted to show any clip thousands of time in a single day. The consumers having no sense of their individual rights or privacy keep on tolerating the trauma of excessive and repeated exhibition of the same clips, as if they are the chattel of the advertisers.

It’s double whammy for the consumers of the TV programmes that almost 30% of their electricity is wasted in watching undesired advertisements in between the shows, for the exclusive benefit of the advertisers, which is a ‘wrongful gain’ for the advertiser and ‘wrongful loss’ of the consumer/viewer.

The marketers, influencers are engaged in exploitation of children an childhood in clear violation of Article39 (e) (f) by engaging children ranging from two months to 14 years as actors in advertisement. The National Commission for Child Rights (NCPCR) is silent on the issue.

The film actors and cricketers are promoting chewing pan masala under the guise of mouth fresher. Some of the influencers have promoted Online gaming sites which are actually ‘gambling sites’ smartly packaged as gaming sites. Once a Hollywood actor, Pierce Brosnan featured in a tobacco chewing advertisement, which he later said, he was told it was a mouth fresher.

Celebrities and influencers are equally liable for misleading endorsements. In a landmark judgment on May 7, 2024, in Indian Medical Association & Anr Vs. Union of India (W.P. Civil No. 645/2022), a Bench of Supreme Court comprising Justices Hima Kohli and Ahsanuddin Amanullah has declared that celebrities and influences are equally liable if they endorse misleading advertisements. Hearing the petition the Bench came down heavily on the influencers who feature in such advertisements.

The Bench added that in the age of social media, celebrities and influencers wield considerable influence with millions of impressionable minds take their words as gospel truth. In many instances, the endorsements are misleading or false leading to consumer detriment and eroding trust in advertising. 

However, our contention is that the practice of endorsement by so-called celebrities should be banned as it arbitrarily and discriminatory incurs the heavy cost on the pocket of the gullible consumer, which are prejudicial to the interests of the consumers as a class, because the heavy cost of celebrities fees is included in products M.R.P.    

Senior Advocate Mahalakshmi Pavani, President- Supreme Court Women Lawyers Association, said, “As per my observations in several cases, it is always the helpless poor consumer who ultimately bears the heavy cost of celebrities’ endorsement and there are many factors responsible for the same. Before we delve into the whole conversation regarding the legal consequences and remedies available to consumers in lieu of false celebrity endorsements, one must understand the whole psyche behind the consumption pattern and purchasing capacities of respective consumers.”

“Besides, influencers, the overall fanaticism and idolization of celebrities further moves consumers to rely on the endorsements promoted by such celebrities. However, ultimately in the end it is the consumer who pays a heavy prize of such endorsements since many often find the product ill-suited to their needs and often with a tangible financial denominator. This is a sufficient clarion call for legislative and regulatory authorities to tighten the noose on such false, fraudulent and misleading endorsements.”

“In today’s media-saturated environment, consumers are increasingly susceptible to external influences disseminated through the media, with celebrities often leading the charge in shaping consumer behaviour. Whether through social media platforms, traditional advertising channels, or product endorsements, the impact of celebrity-focused advertising extends beyond mere entertainment and impacts consumer decisions.” 

“Consumers often trust celebrities as authority figures and believe in their endorsements without critically evaluating the product or its claims. When these endorsements are misleading or false, consumers may end up purchasing products that do not deliver the promised results, leading to financial loss.”

“Celebrities often portray an aspirational lifestyle in their ads, creating a desire for consumers to emulate them. When products fail to live up to the promised results, consumers may feel disappointed and disillusioned, impacting their self-esteem and mental well-being.”

“Many consumers may not have access to accurate information or resources to verify the claims made in advertisements. This lack of information leaves them vulnerable to deceptive marketing tactics and false promises, resulting in wasted money and potential harm to their health or well-being.”

“Advertisements often use emotional appeal to persuade consumers to purchase products. When celebrities endorse products, their emotional connection with the audience can lead consumers to make impulsive decisions without considering the rational implications, ultimately leading to regret and financial loss.”

“In some cases, there may be loopholes or lax enforcement of regulations governing advertising standards. Celebrities and advertisers may exploit these gaps to make misleading claims or endorsements without facing significant consequences, leaving consumers unprotected and vulnerable to exploitation.”

Mahalakshmi further said, “While going through the available law provisions on this subject, I do realize that as of now, we need effective mechanism for the stringent and immediate implementation of all the available provisions in the Consumer Protection Act and all sorts of applicable recent Guidelines Code issued by the Ministry of Consumer Affairs and other departments which is possible with the efforts of our Judicial system, acting as an effective regulator of these laws. Right now, exactly the same path is being taken by the Hon’ble Supreme Court which is seeking effective compliance of the stipulated Guidelines of 2022 (Guidelines for Prevention of Misleading Advertisements and Endorsements of Misleading Advertisements, 2022) along with several newly introduced modifications/better improvised rules for the advertiser/advertising agencies are also being issued considering the gravity of this issue in the latest order dated 07.05.2024 and I wholeheartedly welcome this new laid law by the Hon’ble Supreme Court which will definitely ensure a massive improvement and radical change in the existing situation as of now. I hope that by the time regular law will be legislated, the effectiveness of this order passed by the Hon’ble Supreme Court will serve as the legal antidote and may do the needful required in the present circumstances.”

With regard to credibility of  endorsements, Mahalakshmi said, “In my opinion, celebrities wield unprecedented influence over the masses. With their carefully curated images and expansive reach, they are sought after by advertisers to endorse products ranging from cosmetics to cars. However, beneath the glitz and glamour lies a troubling reality: celebrity endorsements are often nothing but a guise for perpetuating fraud upon the gullible masses.”

“First and foremost, celebrities have no verified and reliable knowledge about the products which they endorse. Whether it’s a skincare regimen or a weight loss supplement, their authority stems solely from their fame rather than any genuine knowledge or expertise regarding the authenticity or positive results of using that product/services. Yet, consumers are led to believe that these endorsements carry weight, blindly placing their trust in individuals whose sole qualification is their ability to captivate an audience and make them spend or invest their hard-earned money into those products or services endorsed by them.”

“Moreover, the motivations behind celebrity endorsements are rarely altruistic. Behind closed doors, lucrative deals are struck between celebrities and advertisers, with hefty pay cheques exchanged for lending their faces and voices to a product. This financial incentive creates a conflict of interest, where the celebrity’s primary concern is their bank account rather than the well-being or safety of their fans.”

“Furthermore, the very nature of celebrity endorsements is inherently deceptive. Advertisers capitalize on the emotional connection between fans and their favorite stars, exploiting this bond to peddle products with dubious efficacy. Whether it’s a promise of flawless skin or instant weight loss, these claims are often exaggerated or outright false, preying on the insecurities of the gullible masses.”

When asked about tender-aged children engaged as actors in films, electronic/ print media, etc; Mahalakshmi said, “I definitely agree with the employment of young children and in fact squandering their childhoods amidst the much glamourized entertainment industry. Concerning the definition of child labor, the law is fairly myopic, with the enactment of the Child and Adolescent Labour (Prohibition and Regulation) Act of 1986 which prohibits the employment of children in hazardous occupations and processes, and regulates their employment in other areas. The law applies to the whole of India, however, its application is limited to establishments, including railways, major ports, mines, and oilfields. With regards to the definition of ‘establishment’, Section 2(iv) defines it to include “a shop, commercial establishment, workshop, farm; residential hotel, restaurant, eating house, theater or other place of public amusement or entertainment”. However, given the tumultuous hours spent in shooting in the entertainment industry protection of the constitutional right of children under Article 39 it is only time that the labor code be extended to the entertainment industry with a set of detailed regulations and appropriate teething provisions to monitor the employment of young children in such entertainment pursuits.”

Dr. Trisha Kadyan, Advocate and legal adviser with Delhi GST department, said, “While it’s undeniable that consumers, especially those with limited resources, can be disproportionately affected by misleading endorsements, it’s not solely the responsibility of the consumer to bear the consequences. Celebrities and influencers, by virtue of their platform and reach, hold significant power over public perception. When they endorse a product, they are essentially vouching for its quality and efficacy. Therefore, they must bear a portion of the accountability when those products fail to meet expectations or are misleadingly promoted.”

Dr. Kadyan further said, “Amending the Consumer Protection Act to address the issue of misleading endorsements is indeed a step in the right direction. The frequent release of endorsed ads can inundate consumers with potentially deceptive information, leading to confusion and exploitation. Implementing an Ordinance to swiftly address this issue could provide interim relief while long-term legal measures are put in place. However, any amendments or ordinances should be carefully crafted to balance the interests of both consumers and businesses, ensuring fair practices in the advertising industry. There needs to be greater scrutiny and accountability to prevent endorsements that are deceptive or misleading. Transparency regarding the nature of the endorsement and any potential conflicts of interest is essential to empower consumers to make informed choices.”

About involving tender-aged children in advertisements, she said that the practice raises ethical concerns regarding their exploitation and protection. Article 39(e) and (f) of the Constitution of India enshrine the principles of safeguarding childhood and preventing child labor. While children participating in advertisements may not necessarily fall under the category of child labour, it’s crucial to ensure that their involvement is voluntary, safe, and does not compromise their well-being or education. Regulations should be in place to protect the rights and interests of children involved in advertising.

Noted Advocate S.K. Sharma, labour law expert said, “Considering the evolving nature of the entertainment industry and the increasing participation of children as actors in films, electronic/print media, it would be prudent to consider adding special provisions for the occupation and process of child actors through an amendment in Child Labour (Prohibition and Regulation) Act, 1986.”

Dr. Ravindra Wankhedkar, former National President of Indian Medical Association said that the helpless consumers ultimately bear the heavy cost of celebrity endorsement. As a renowned doctor, he recommended that the role of children in advertisements should be banned and that the celebrities should be extremely cautious in endorsing the products.

Leave a Comment