You Might Be a Winner
        A blog from the attorneys of Verrill

        Help! My Social Media Influencer Caused a Riot

        by Robert Laplaca on August 7, 2023

        The statistics speak for themselves:

        • Influencer marketing in the US is valued at over $16 billion.
        • 72% of Gen Z and Millennials follow influencers on social media.
        • 89% of marketers intend to increase influencer marketing.

        And of course,

        • 1 influencer with 3.6 million followers has giveaway in Union Square resulting in 65 arrests.

        What’s a company to do?

        While Mr. Phineas T. Barnum may have believed that “There’s no such thing as bad publicity,” your company may not want to rely solely upon this adage when engaging social media influencers. The days of handshakes and one-page letter agreements may be over. Since your social media influencer may be good at attracting both followers and trouble, you need to have a contract with your influencer and that contract should include some specific helpful provisions.

        • Outline of scope of work to be performed.

        Provide an easy-to-understand outline of what products and services an influencer will publish. Confirm that all content must be original, factual, compliant with terms and conditions of social media platforms and all applicable laws and regulations and that posts must contain certain hashtags and/or links required by company.

        • Specs on aesthetic and branding.

        Consider providing influencer with non-exclusive, non-transferrable rights to your IP and specific approved uses of your IP. Provide influencer with any other applicable branding guidelines. Confirm who owns content published by influencer.

        • Where and how often content to be published.

        Specify all social media platforms where any content can be published and any required frequency of publishing, including any milestones and deadlines.

        • Compensation.

        Amount, form (commission, flat fee, product-based) and frequency. Any other perks provided to influencer.

        • Content to avoid.

        Profanity, sexual content, etc., as well as perhaps competitors, competitors’ products and “claims” concerning your products.

        • Pre-approval of content.

        Consider pre-approval rights depending on the influencer and your company’s market/customers.

        • Access to influencer data.

        Require influencer to provide influencer’s social media login credentials, screenshots, Google Analytics and other metrics.

        • FTC Endorsement Guidelines.

        Expressly inform influencer that he/she/they will be subject to the FTC Endorsement Guidelines and provide specific requirements and examples for content postings.

        • Exclusivity.

        Consider prohibiting influencer from working with competitors during term and for a period after term and/or on certain media/localities.

        • Confidentiality.

        Payment terms, trade secrets, business information.

        • Insurance.

        Require influencer to carry general liability insurance and personal and advertising injury coverage, naming company as additional insured.

        • Term and termination.

        Either at-will, specific advertising program, or specific time period. Either party can terminate without cause with notice. Either party can terminate for cause (without possible cure period) in the event of breach or untoward conduct.

        • Other standard provisions:
        1. Independent contractor
        2. Indemnification
        3. Limitation of liability of company
        4. Non-disparagement
        5. No assignment
        6. Choice of law/venue
        7. Severability
        8. Force Majeure

        Obviously, any influencer contract must be fit to the specifics of the influencer and the company, but the above provisions should provide a good start when trying to prevent social media publicity turning into societal riots.

        You Might Be a Winner

        Promotion and sweepstakes laws vary widely across the fifty states and under federal regulations, creating complex challenges for today’s innovative marketers. This blog explores the latest updates and trends in promotion and marketing law, offering practical insights to help brands stay compliant while pushing creative boundaries. We’ll also discuss noteworthy, questionable, and groundbreaking promotional campaigns to encourage thoughtful discussion among marketing and legal professionals.

        Key Contact

        Subscribe

        Looking for more great content? Subscribe for regular legal updates and information delivered right to your inbox.

        Firm Highlights

        Press Releases

        97 Verrill Attorneys Recognized by Best Lawyers® 2027, Including Four Named Lawyers of the Year

        AUGUSTA, Maine, BANGOR, Maine, BOSTON, Mass., PORTLAND, Maine, and WESTPORT, Conn., (August 20, 2026) – Verrill is proud to announce that 97...
        Alerts and Newsletters

        SEC’s Proposed “Reg Crypto”: What Founders Need to Know

        Startup founders and emerging-growth companies have a number of options for raising capital under the federal securities laws, including Regulation D...
        Blog

        After 45 Years, the IRS Speaks on DCAP Nondiscrimination Testing – And It’s Good News

        Employers that provide a Dependent Care Assistance Program will be pleased to learn that for the first time in 45 years, the IRS has issued guidance...
        Media Mentions

        Robert Keach Discusses Bankruptcy Auction Strategy in Law360

        Verrill attorney Robert Keach spoke with Law360 article examining the complex bankruptcy auction process that resulted in the sale of 23 summer...
        Media Mentions

        Martha Gaythwaite Featured in Portland Press Herald Coverage of Sig Sauer Trial Victory

        Verrill attorney Martha Gaythwaite was highlighted in media coverage of a federal trial in Bangor involving firearm manufacturer Sig Sauer. As...
        Media Mentions

        Law360 Quotes Robert Keach on Senate Bill Affecting Small Business Restructurings

        Verrill attorney Robert Keach was recently quoted in a Law360 article discussing federal legislation that would permanently restore the $7.5 million...
        Alerts and Newsletters

        SAFEs and Preferred Stock – Key Deal Terms Every Founder Should Know

        SAFEs Before negotiating a term sheet for preferred stock, many early-stage companies, particularly at the seed stage, first raise capital through...
        Press Releases

        Verrill Welcomes Business Restructuring and Insolvency Attorney Nimra Tariq

        BOSTON, Massachusetts – Verrill is pleased to announce that Nimra Tariq has joined the firm’s Business Restructuring and Insolvency Group as an...
        Media Mentions

        Robert Keach Provides Commentary on First Brands Restructuring in Law360

        Verrill attorney Robert Keach was quoted in the Law360 article, "First Brands' Ch. 11 Plan Revives Angst Over Admin Claims," discussing First Brands...
        Press Releases

        Verrill Welcomes Construction Attorney Cassie Dufon

        PORTLAND, Maine – Verrill is pleased to welcome Cassie Dufon to the firm’s Construction Group as an Associate, resident in the firm’s Portland...
        Press Releases

        Verrill’s Wide-Ranging Private Wealth Law Practice Recognized in 2026 Chambers and Partners High Net Worth Guide

        BANGOR and PORTLAND, Maine and BOSTON, Mass. – Verrill attorneys Kenneth P. Brier, Anya F. Endsley, Kurt E. Klebe, Mary McQuillen, Nathaniel S....
        Blog

        Update on Status of Maine Packaging EPR

        In December 2024, Verrill published a blog post, Unwrapping Maine's Gift to the Environment: A New Packaging Stewardship Program Set to Launch in...