Hashish Legislation Group
When you’re within the Los Angeles CBD enterprise, it’s vital to keep away from enjoying fast-and-loose with superstar endorsements and/or likenesses. Certain, there are a lot of celebrities who are vocal fans of cannabis and CBD products, and a few even have their very own manufacturers. However as our Los Angeles CBD business attorneys can clarify, false assertions of big-name help have led to multi-million-dollar payouts in a lot of latest instances. When you do have the inexperienced mild from a outstanding determine to make use of their identify and likeness to advertise your product, it’s crucial that you just get all of it clearly in writing – to guard your organization, your staff, and your property.
Whereas many of those fake superstar endorsement have come from scammers, just a few have concerned precise CBD corporations.
Among the many latest situations of celebrities publicly denouncing use of their likeness or phony endorsements for CBD merchandise:
- Tom Brady. The professional-footballer has flatly denied his purported endorsement of CBD and keto gummies, as depicted in a lot of authorized Fb advertisements – a few of them sexually-explicit and clearly scams.
- Phil McGraw. The identify and likeness of “Dr. Phil” was utilized by a rip-off web site that led customers to consider they have been on the Fox Information web site, the place there was an advert indicating his endorsement of CBD gummies. One article even acknowledged McGraw and Brady have been teaming up of their endorsement of CBD gummies. They had not.
- Dolly Parton. The 77-year-old nation music singer/songwriter issued an announcement saying that, opposite to circulated claims on varied social media advertisements, she had by no means been related to or endorsed any keto oils or CBD product.
- Keanu Reeves. “The Matrix” actor was compelled to launch an announcement final yr clarifying that he had by no means endorsed any CBD gummy or CBD oil product, and had by no means been interviewed by any CBD firm for its web site.
Two latest instances which have led to litigation concerned embrace “Jeopardy!” host Mayim Bialik and actor Clint Eastwood (and the corporate that owns the proper to his likeness).
Bialik’s lawsuit lists 32 unnamed corporations (recognized by the IP addresses, largely located within the Dominican Republic, France, and India), and alleges they’re illegally utilizing her likeness to advertise pretend CBD oil and CBD gummies. Bialik says she’s by no means endorsed the product, by no means given permission for her identify/picture for use, and has by no means been compensated for its use by these operators.
Eastwood, in the meantime, has had two substantial successes on the authorized entrance for unlawful use of his likeness to promote CBD merchandise. Each instances have been initially filed in federal courtroom in Los Angeles towards three CBD producers and entrepreneurs. The nonagenarian’s picture was reportedly featured in on-line articles falsely claiming that he endorsed these merchandise.
One of many corporations, based mostly in Lithuania, was ordered in 2021 to pay $6.1 million for unauthorized use of Eastwood’s identify and likeness, in addition to lawyer’s charges. An injunction was imposed to dam future use of his identify and likeness for his or her merchandise.
Then final yr, Eastwood was awarded $2 million in a lawsuit towards one other CBD retailer and a Florida-based web advertising service that purportedly used his identify and picture with out permission to advertise its merchandise in a web based journal. That web page contained an article his identify and made-up quotes that indicated his help for CBD usually and the defendant’s merchandise specifically.
Eastwood stated he’s by no means endorsed hashish, and actually has solely ever agreed to 1 endorsement in his entire profession: A 2012 Tremendous Bowl TV advert highlighting the nation’s financial beneficial properties for the reason that earlier recession.
Backside line: Don’t make the error of considering A-listers gained’t discover when you swipe their likeness for on-line gross sales. It’s a high-risk transfer that might price your organization dearly. If you’re searching for an endorsement of some variety from a star, undergo the correct channels, guarantee they’re pretty compensated, and have your Los Angeles hashish firm lawyer evaluate your contract.
The Los Angeles CANNABIS LAW Group represents growers, dispensaries, ancillary corporations, sufferers, docs and people dealing with marijuana costs. Name us at 714-937-2050.
Further Sources:
Clint Eastwood Wins $6.1 Million CBD Lawsuit, Oct. 3, 2021, by Sarah Bahr, The New York Occasions
Extra Weblog Entries:
Breakdown of U.S. Rules for CBD Cosmetics by L.A. Cannabis Business Lawyer, April 16, 2023, Los Angeles CBD Lawyer Weblog
