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Social Media In
    the Food Industry
     Managing legal risk to avoid
           getting bitten



Carolyn Elefant, LawOfficesofCarolynElefant.com February 5, 2013
Why social media in
 regulated industries
  is like alcohol at a
   networking event

A catalyst for facilitating
conversation, connection
and fun…


…or a recipe for disaster?
The Formula:
User-generated content + 3rd party platform =
            LOSS OF CONTROL
•Sites you should know


•Sources of authority


•Takeaways for Success
LINKED IN
Facebook
TWITTER
PINTEREST
INSTAGRAM
What’s driving the acceleration of
           social media?
•Global/mobile
•Rise of the digital natives
•Movement from search to discovery
Law
                   Regulatory/Codes of
                         Conduct

                   Platform TOS

                Social Media Policy

                   NETIQUETTE


5 sources of Authority Governing Social
     Media in Regulated Industries
LAW TRENDS
Employment Law
•       Employee SM background checks
•       Access to employee passwords/monitoring
•      Right to organize v. right to organization:
NLRB/Costco case - September 7, 2012 - social media
policy goes too far) “be aware that statements posted electronically
(such as to online message boards or discussion groups) that damage the
company, defame any individual or damage any person’s reputation or violate
the policies outlined in the Costco Employee Agreement, may be subject to
discipline, up to and including termination of employment.”

•       Mobile liability (overtime and off-site negligence
        on the job)
LAW TRENDS
Copyright/IP
•     Who owns the accounts?
      •Phonedog v. Kravitz (settled - Twitter)
      •Eagle v. Edcomm (LI contacts not trade secrets)
      •Maremont v. Fredman Designs (employer posts
      promos on employees FB account and
      impersonates her)
•     Liability/infringement
      •DCMA - safe harbor for hosts w/appropriate
      takedown notices
LAW TRENDS
ADVERTISING
• FTC regulation re: blogging disclosures


•FTC guidance on mobile use (August 2012)


•FTC amends Child Online Privacy Protection Rule
(parents gain more control) (December 2012).
LAW TRENDS
E-DISCOVERY AND RECORDS
• Courts beginning to clarify what is discoverable in
social media
•Records maintenance - new complications through
mobility, SEC regulations on retention if communications
are through social media
REGULATORY


FDA Rules, largely for pharmaceutical
issued 12/2011
General disclosures for regulated, publicly
traded entities (SEC, Sarbanes Oxley,
etc…)
Emerging issue: duty to report food viruse
transmissions raised on social media?
REGULATORY
             Platform terms of
                  service
•Issues regarding platform TOS
  • Importance of notifying users of
  platform TOS
  •Familiarity with platform TOS to avoid
  liability
     •Special rules on contests
     •Prohibitions on spam (Twitter suing
     spammers)
Social Media
                     REGULATORY
                  Platform terms of
                        POlicy
                    service
•Significant for risk management, BUT
  •Must comply with applicable law (e.g., NLRB)
  •Should not reinvent the wheel (tie in existing codes of
  conduct and records management practices; don’t re-
  write)
  •Broad principles with examples better than platform
  specific regulation (since platforms are always changing)
  •Be updated regularly for new developments (e.g.,
  mobile)
  •Must be accompanied by adequate training, reputation
  monitoring and cyber-insurance if no existing coverage
NETIQUETTE


Best summarized
as don’t be this
5 Take-AwAys
For social media use in the
        food industry
 •Transparency, authenticity and
 respect are paramount and better
 than platform-specific regulation.
 •Social media policy is important
 are critical, but only 1 piece of the
 puzzle.
 •Ounce of prevention = pound of
 cure; humor is better medicine
 than litigation (if possible)
 •Changing parameters require
 constant updating. Nothing static.
 •Risks can be managed but
 rewards can’t be recaptured
CONTACT:
         Carolyn Elefant
        Washington DC
         202-297-6100
    www.carolynelefant.com
@carolynelefant, @nxtgenenergylaw
www.linkedin.com/in/Carolynelefant
  http://pinterest.com/myshingle/

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Socialmediafood

  • 1. Social Media In the Food Industry Managing legal risk to avoid getting bitten Carolyn Elefant, LawOfficesofCarolynElefant.com February 5, 2013
  • 2. Why social media in regulated industries is like alcohol at a networking event A catalyst for facilitating conversation, connection and fun… …or a recipe for disaster?
  • 3. The Formula: User-generated content + 3rd party platform = LOSS OF CONTROL
  • 4. •Sites you should know •Sources of authority •Takeaways for Success
  • 10. What’s driving the acceleration of social media? •Global/mobile •Rise of the digital natives •Movement from search to discovery
  • 11. Law Regulatory/Codes of Conduct Platform TOS Social Media Policy NETIQUETTE 5 sources of Authority Governing Social Media in Regulated Industries
  • 12. LAW TRENDS Employment Law • Employee SM background checks • Access to employee passwords/monitoring • Right to organize v. right to organization: NLRB/Costco case - September 7, 2012 - social media policy goes too far) “be aware that statements posted electronically (such as to online message boards or discussion groups) that damage the company, defame any individual or damage any person’s reputation or violate the policies outlined in the Costco Employee Agreement, may be subject to discipline, up to and including termination of employment.” • Mobile liability (overtime and off-site negligence on the job)
  • 13. LAW TRENDS Copyright/IP • Who owns the accounts? •Phonedog v. Kravitz (settled - Twitter) •Eagle v. Edcomm (LI contacts not trade secrets) •Maremont v. Fredman Designs (employer posts promos on employees FB account and impersonates her) • Liability/infringement •DCMA - safe harbor for hosts w/appropriate takedown notices
  • 14. LAW TRENDS ADVERTISING • FTC regulation re: blogging disclosures •FTC guidance on mobile use (August 2012) •FTC amends Child Online Privacy Protection Rule (parents gain more control) (December 2012).
  • 15. LAW TRENDS E-DISCOVERY AND RECORDS • Courts beginning to clarify what is discoverable in social media •Records maintenance - new complications through mobility, SEC regulations on retention if communications are through social media
  • 16. REGULATORY FDA Rules, largely for pharmaceutical issued 12/2011 General disclosures for regulated, publicly traded entities (SEC, Sarbanes Oxley, etc…) Emerging issue: duty to report food viruse transmissions raised on social media?
  • 17. REGULATORY Platform terms of service •Issues regarding platform TOS • Importance of notifying users of platform TOS •Familiarity with platform TOS to avoid liability •Special rules on contests •Prohibitions on spam (Twitter suing spammers)
  • 18. Social Media REGULATORY Platform terms of POlicy service •Significant for risk management, BUT •Must comply with applicable law (e.g., NLRB) •Should not reinvent the wheel (tie in existing codes of conduct and records management practices; don’t re- write) •Broad principles with examples better than platform specific regulation (since platforms are always changing) •Be updated regularly for new developments (e.g., mobile) •Must be accompanied by adequate training, reputation monitoring and cyber-insurance if no existing coverage
  • 20. 5 Take-AwAys For social media use in the food industry •Transparency, authenticity and respect are paramount and better than platform-specific regulation. •Social media policy is important are critical, but only 1 piece of the puzzle. •Ounce of prevention = pound of cure; humor is better medicine than litigation (if possible) •Changing parameters require constant updating. Nothing static. •Risks can be managed but rewards can’t be recaptured
  • 21. CONTACT: Carolyn Elefant Washington DC 202-297-6100 www.carolynelefant.com @carolynelefant, @nxtgenenergylaw www.linkedin.com/in/Carolynelefant http://pinterest.com/myshingle/