The Federal Trade Commission (FTC) has concluded its investigation of the Eastman Kodak Company’s advertising claim that is inkjet printers “save an average of $110 annually” when compared to its competitor’s printers. The Eastman Kodak Company (Kodak) will be allowed to continue making the claim; however, Kodak must prominently disclose that consumers will only achieve the savings if they print four pages a day or 1,500 pages a year.

This investigation resulted from the Hewlett-Packard Company challenging Kodak’s claim at the National Advertising Division (NAD), an advertising industry self-regulatory body. Kodak refused to participate in the NAD proceeding because it argued its claims were already substantiated. The NAD disputed this and referred the matter to the FTC for review.

This investigation demonstrates the importance of fully disclosing the basis for advertising claims. For information on Arent Fox’s work in the area of advertising and marketing law, please contact:

Anthony V. Lupo
lupo.anthony@arentfox.com
202.857.6353

Matthew R. Mills
mills.matthew@arentfox.com
202.715.8582