Disguised advertising by a so-called influencer on Instagram

If an “influencer” recommends a product without making the commercial purpose clear, this constitutes prohibited disguised advertising if the influencer deals with the business area of the product on a full-time basis and maintains business relationships with the companies whose products they recommend. On this basis, the Higher Regional Court of Frankfurt am Main (OLG) prohibited disguised advertising on Instagram. The Regional Court had initially rejected a corresponding injunction claim by the applicant competition association. However, in the opinion of the OLG, the postings were advertising intended to promote the sale of the aquariums and aquarium accessories presented there. “The fact that this is a presentation of the defendant appearing on Instagram as (…) does not preclude the assumption of a commercial act because, in the opinion of the Senate, the defendant receives fees or other benefits, such as discounts or bonuses, for this purpose” (Press release no. 37/2019 of the Higher Regional Court of Frankfurt am Main dated July 4, 2019).

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Dennis Tölle

Specialist Attorney for Copyright and Media Law; Specialist Attorney for Intellectual Property Law

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