Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
Author: Scarinci Hollenbeck, LLC
Date: August 19, 2016
The Firm
201-896-4100 info@sh-law.comMany of the athletes competing in Rio would not be at the Olympics without the financial support provided by corporate sponsors. However, the International Olympic Committee’s (IOC) strict advertising rules (specifically Rule 40) generally prohibit competitors from even tweeting about non-official sponsors, and those companies are banned from running advertisements featuring sponsored athletes during the Games.

In response to criticism regarding the stringent advertising restrictions, particularly with regard to the impact of athletes’ rights, the IOC did relax the rules slightly in advance of the Rio Games. However, there are still a number of hoops that businesses must jump through in order to avoid intellectual property infringement liability.
Rule 40 of the Olympic Charter states: “Except as permitted by the IOC Executive Board, no competitor, coach, trainer or official who participates in the Olympic Games may allow his person, name, picture or sports performances to be used for advertising purposes during the Olympic Games.”
The IOC’s Rule 40 guidelines place a number of restrictions on both athletes and non-Olympic commercial partners.
By way of example, any use of the image of a participant, taken during the Olympic Games, in combination with a company or brand, is prohibited. Olympic advertising rules also prohibit athletes from wearing branded apparel or accessories that are not part of the U.S. Team apparel issued by the USOC.
Under IOC guidelines, athletes may only use social media during the period of the Games for the purposes of sharing their experiences and communicating with their friends, family and supporters. Using social media for commercial and/or advertising purposes, including thanking sponsors, is expressly prohibited.
In 2015, the IOC amended its Rule 40 guidance to enable continuation of in-market generic advertising featuring Rio Games participants during the Games period. The U.S. Olympic Committee (USOC) subsequently adopted the IOC’s rule change.
In order to benefit from the Rule 40 changes, U.S. athletes and non-official sponsor companies were required to submit waivers to the USOC by January 27, 2016, including plans for advertising and social media campaigns. In addition, the campaigns must have been launched by March 27, 2016.
It is important to highlight that official Olympic IP, such the Olympic rings, is still off-limits.
Approved campaigns may not include direct or indirect association with the Rio Games, the USOC, Team USA, Olympic IP or terms generally associated with the Olympic Games. However, for companies that sponsor well-known athletes like Michael Phelps or Simone Biles, the official logos aren’t really necessary for a successful campaign. For an example, check out Under Armor’s “Rule Yourself” campaign with Michael Phelps and GoPro’s digital video series, “Finding Missy,” featuring Missy Franklin.

For small businesses that did not have the opportunity to take advantage of the waiver process for the Rio Games, the 2018 Winter Olympics in Pyeongchang, South Korea are not that far away. In addition, there are ways to talk about the Olympics on social media without mentioning the Games by name, marketers just have to get creative (check out Ford’s “We Are All Fans”). Finally, Zerorez, a carpet cleaning company in Minnesota, filed a lawsuit against the USOC, alleging that the advertising rules exceed the trademark protection afforded under U.S. Code Chapter 2205.
If you are a business owner unsure of how to safely become a sponsor without liability or would like to discuss the matter further, contact me, Anthony Caruso.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Few situations create more uncertainty than learning that an employee has filed a whistleblower complaint. Questions arise immediately: Is the allegation legitimate? Should the employee be placed on leave? Do we need to notify our insurance carrier? Are we now prevented from disciplining the employee if there are unrelated ongoing work related issues? There is […]
Author: Sean M. Pena

When a business reaches the point where it can no longer service its debts or otherwise resolve its liabilities, management is often faced with a difficult question: is a bankruptcy filing necessary or is there another way to perform an orderly liquidation or sale of the business assets? While Chapters 7 and 11 of the […]
Author: John D. Giampolo

For many years, the New Jersey Mansion Tax has been a significant consideration in high-value real estate transactions. Recent legislative changes, however, have substantially altered how the tax operates, including who is responsible for paying it and the amount owed in certain transactions. Whether you are purchasing, selling, or investing in New Jersey real estate, […]
Author: George McGowan

As our personal and financial lives increasingly move online, estate planning must evolve to address a new category of property: digital assets. From email accounts and social media profiles to cryptocurrency and cloud-stored business records, these assets often carry both financial and sentimental value. Yet, without proper planning, they can become inaccessible—or even lost—upon incapacity […]
Author: Marc J. Comer

In today’s mergers and acquisitions market, representation and warranty (R&W) insurance has become a common feature of deal negotiations. Once used primarily in larger transactions, R&W insurance is now frequently incorporated into middle-market deals as buyers and sellers look for efficient ways to allocate risk and close deals. When structured properly, R&W insurance can help […]
Author: George McGowan

Receiving a federal grand jury subpoena is not something most businesses or individuals anticipate. While it can be concerning, a federal grand jury subpoena does not necessarily mean that you are being accused of wrongdoing. It does, however, mean that a federal criminal investigation is underway and that federal prosecutors believe you may possess information […]
Author: Sean M. Pena
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!