Chapter 15 Flashcards
Statue of Responsibility
in democratic societies, most free speech is self-regulating
acceptability determined by public opinion/tolerance
PR - balance benefits/responsibilities of free speech
academic freedom = better explore controversial subject matter to better understand world around us within disciplines of study
PR and the law
difference between legal & ethical
ignorance of law is no excuse
this is litigious society
PR should know laws that govern practice
Practitioners and law
48% familiar with practitioner malpractice laws
45% unfamiliar with laws pertaining to financial public relations
40% unfamiliar with laws pertaining to commercial speech
first amendment
legal framework for nation’s social, political, commercial discourse
comes into conflict with other guaranteed rights/social interests
PR on cutting edge of evolution of free expression
Political speech
expression associated with the normal conduct of a democracy
courts reluctant to regulate it
commercial speech
expression intended to generate marketplace transactions
courts regulate it in public interest
PR as Speech
can be either political OR commercial speech
depends on targeted public, message purpose, Supreme Court interpretation
practitioners need to know limits of both types of speech
Business differences
organizations often operate under specific laws regarding handling of info (depending on legal status)
Public agencies operate in the “sunshine”
nongovernment agencies enjoy higher degree of privacy but may still face certain disclosure obligations
Federal trade commission
1914 - to ensure fair marketplace
generates most federal regulation of advertising/product-related publicity
Targets false/misleading ad/publicity and US DO NOT CALL registry
SEC (Securities and Exchange Commission)
1934 - ensure fairness in financial markets
Disclosure - beliefe all publicly held companies have obligation to disclose important investor information
Insider Trading - market transactions based on info not available to public
Regulation FD
requires businesses to operate within the spirit of financial disclosure laws
Sarbanes-Oxley
CEOS and CFOs held personally responsible for truthfulness of financial statements
Federal Communications Commission (FCC)
1934 - bring order to broadcast airwaves
Equal opportunity provision - equal access to broadcast media for qualified candidates
Personal Attack Rule - obliges stations offer free airtime and reasonable opportunity to respond to character attacks
Recent controversy over easing broadcast ownership rules
Food and Drug Administration
Created to protect, promote, enhance health of consumers
sets communcation rules for products/services
labelling/promotion of prescription drugs
oversees direct-to-consumer advertising
Health Canada
oversees direct-to-physician advertising