(Note: These are first impressions, and I’ll be updating this posting.)
The Federal Trade Commission noticed a while back that marketers of brands, products and ideas have used new media in some incredibly dishonest ways. These include paying people or giving them freebies in return for positive mentions and not requiring (or even encouraging) them to disclose that they’re being compensated.
So with laudable goals, the commission issued a document (390k pdf) aimed at better disclosure — with penalties of up to $11,000 in fines for violations. Basically, the FTC is saying that if you have a “material connection” to a product or service you’re praising, you are an endorser who must disclose that connection.
Sounds good, doesn’t it. But when you read the FTC’s ruling, published today, you get the sense of a government-gone-wild travesty. Why?

