Advertising & Marketing 2023

Last Updated October 17, 2023

Norway

Law and Practice

Authors



Bull & Co Advokatfirma AS is located in Oslo and has a total of 73 lawyers. There are five partners and five associates in the firm’s IP group covering advertising and marketing law. Bull & Co is the exclusive Norwegian member of the Global Advertising Alliance, in addition to other international networks. The group covers all intellectual property, marketing, and advertising-related work, including clearances of campaigns and competitions, go-to-market preparation, and clearances for global and Nordic brands. The firm’s group attracts a loyal client following among domestic and global clients, especially within consumer goods, B2B, and information technology. These include the likes of Vestre, Varier Furniture, and Puma.

Advertising in Norway is regulated in the Act relating to the control of marketing and contract terms and conditions, etc, of 9 January 2009 No 2 (“The Marketing Control Act” or MCA).

The MCA lays down the framework for business marketing to consumers and other traders, mainly in separate rules directed towards consumers and traders.

There are currently a total of eight regulations issued pursuant to the MCA.

Relevant EC legislation, such as Directive 2005/29/EC Unfair Commercial Practices Directive, is incorporated in the MCA.

Chapters 1–5 of the Act contain rules protecting the collective consumer interests, and the enforcement rules are in Chapter 2. Chapters 7 and 8 are associated with these rules. Chapter 6 protects the interests of traders. Chapter 9 contains penal provisions that will primarily be applicable in the event of a breach of the provisions of Chapters 2 and 6, but also violations of certain consumer protection rules are punishable under this Chapter. Chapter 9 (Sections 48a and 48b) also provides for civil penalties for breaches of certain provisions of Chapter 6.

The MCA falls under the authority of the Ministry of Children and Family Affairs.

The Consumer Authority is the supervisory authority for traders’ commercial practices and contract terms and conditions vis-à-vis consumers. The Consumer Authority is thus responsible for enforcing the Act when it comes to consumer marketing. The Market Council is the instance for appeals against the Consumer Authority’s decisions. The decisions taken by the Market Council may be tried before ordinary civil courts.

The enforcement and sanctions system is found in Chapters 7 and 8 of the Marketing Control Act. The system is based on a two-track system, with one administrative and one criminal justice track. In practice, the administrative track is clearly dominant, where the Consumer Authority and the Market Council enforce the law administratively according to civil procedural rules. The administrative track includes administrative sanctions and other administrative measures, including decisions on prohibitions, injunctions, penalties, and fines.

In case of a breach the MCA, the Consumer Authority may issue:

  • a prohibition pursuant to Section 40;
  • an enforcement penalty pursuant to Section 42; or
  • an infringement penalty pursuant to Section 43 (fine) (requires intentional or negligent infringement).

The traditional way of enforcement in Norway has been that the offender is given the opportunity to take down the add before an infringement penalty (fine) is issued. However, lately the authors have seen more cases where an infringement penalty (fine) has been issued immediately, combined with a prohibition and enforcement penalties.

The Marketing Control Act applies to actions undertaken “for commercial purposes”. Section 5a defines a “trader” as a “natural or legal person who is acting for commercial purposes, and anyone acting in the name of, or on behalf of, that person...”. The Act applies to trader(s), be they natural or legal persons, whether this is a self-employed person, a limited liability company, or a general partnership, or against associations of traders.

The terms “marketing” or “advertising” are not defined in the MCA. The terms relate to the general scope of application, namely all actions conducted “for commercial purposes”.

Please note that there is a ban on hidden advertising. Marketing and advertising should be disclosed as such (the MCA, Section 3).

Pre-approval is generally neither required, nor possible.

The closest Norway has been to a pre-approval is marketing for pharmaceuticals where all pharmaceutical companies that have marketing authorisation for medicinal products in Norway are obliged to file a copy of all advertisements in the Electronic Advertising Archive of the Council for Drug Information.

The MCA, Section 25 sets out a prohibition against behaviour contrary to good business practice. Thus, it sets out a legal standard that no act shall be performed which conflicts with good business practice among traders in the course of trade. Use of intellectual property or an individual’s name, picture, voice, or likeness in advertising may be contrary to Section 25, as it may harm another person’s good reputation or goodwill, or unreasonably benefit from another person’s goodwill.

Use of intellectual property or an individual’s name, picture, voice, or likeness in advertising is regulated in specific legislation for IP rights such as the Trademark Act and the Copyright Act, and also the Personal Data Act.

Use of another person’s trade mark may be an infringement of another person’s trade mark if it is liable to be confused with the trade mark. Trade mark rights may be obtained through registration, but they may also be acquired through use. For a trade mark which is well known in Norway, the trademark right implies that no one, without the consent of the trade mark proprietor, may use, in the course of trade, a sign that is identical with or similar to the well-known trade mark if the use of that sign without due cause takes unfair advantage of, or is detrimental to, the distinctive character or repute (goodwill) of the well-known trade mark.

The right to own an image is regulated by the Copyright Act, Section 104. The section states that a “photograph depicting a person may not be reproduced or displayed publicly without the consent of the person depicted”. The section exempts the foregoing consent requirement if (for the most relevant exemptions):

  • “the depiction is current and of general interest;
  • the depiction of the person is less important than the main content of the image;
  • the image reproduces gatherings, public processions in the open air, or situations or events of general interest; or
  • a copy of the image is normally displayed as an advertisement for the photographer’s business and the person depicted does not impose a ban.”

The regulation is somewhat of an anomaly since the right to one’s image/picture is not a copyright issue, but rather a question of personal rights and “right of publicity”. Separate privacy rules and regulations are not covered here.

In addition to the above, the following regulations are sometimes relevant when reviewing the use of name, picture, voice, or likeness in advertising.

  • The Act on Personal Names regulates that surnames carried by 200 persons or less in Norway, cannot be used by others without consent.
  • The Trademark Act, Section 16c states that a mark that “contains something that is suitable to be perceived as someone else’s name, stage name or similar, or portrait, unless it is obviously aimed at a long-deceased person” may be a hinderance to a trade mark registration.

In addition to the above regulations, a few older court cases have developed a non-statutory right to one’s own “personal distinctiveness”, which includes voice and likeness. The court cases were all based on use of certain personal distinctiveness of well-known figures in advertising. For example, one case involved the use of an imitation of a person’s distinctive character and voice in a commercial, which the court concluded was an unauthorised exploitation of the person’s persona.

Most provisions in the MCA concern relations between traders and consumers. In relations between traders and consumers, the Consumer Authority and the Market Council have authority.

There is also a separate chapter dealing with protection of the interests of traders. In such cases Consumer Authority and the Market Council do not have the competence. Traders must therefore file suit before the courts or report the case in question to the police.

There is a committee dealing with cases involving violations of the law between traders, where the committee can make advisory statements – referred to as Council dealing with unfair marketing practices (in Norwegian: Næringslivets konkurranseutvalg (NKU)). NKU is a self-judgment body set up by all parties of trading and industry. NKU expresses opinions in disputes between businesses about whether a form of marketing is in violation of Chapter 6 of the MCA. NKU’s statements are formally advisory and not legally binding. NKU’s statements express how representatives of the business sector view marketing in practice. The statements are therefore given considerable weight in business and in judicial practice.

In some specific cases self-regulatory authorities govern advertising practices. For instance, the pharmaceutical industry has established a self-justice body. The Council for Drug Information was established by DLF (The Norwegian Medical Association) and LMI (the Pharmaceutical Industry) as a joint independent self-justice body for the associations’ members. The Council decides cases concerning allegations of breaches of LMI’s regulations or of the co-operation agreement between DLF and LMI. The rules on marketing of pharmaceuticals are an important part.

Parties in the food industry have established the Food Industry Professional Committee. The industry has guidelines that indicate the scope of the Food Industry Standard scheme. The purpose of the guidelines is to contribute good and responsible marketing practices. The guidelines are intended to regulate marketing of food and beverages to children and young people, and to help protect these groups from adverse market influences. The marketing of products covered by a list of products considered contrary to good health shall not be specifically aimed at children under the age of 13. Anyone can complain about marketing efforts. The Committee’s decisions are only advisory.

A special committee made up from various organisations has agreed to a code of conduct for influencers as a way to self-regulate influencer marketing. The code applies to influencers, as well as networks and advertisers. Influencers, networks, or advertisers who are members of large organisations are bound by the code. Influencers who are not bound through their networks can commit to follow the code. Companies that have committed themselves to follow the code are permitted to use the organisation’s name and logo, thereby indicating that they adhere to the code for influencer marketing.

The code stipulates that influencer promotion of certain goods and services with messages that may lead to dissatisfaction with the body or appearance of children and young adults, shall be avoided. The code applies to influencer marketing of the following goods and services:

  • cosmetic procedures and the like; and
  • dietary supplements and similar products.

In the overall assessment to be made according to the code, there will be a stricter assessment of influencer marketing the higher the goods/service category is placed in the appendix concerning dietary supplements.

The professional committee for influencer marketing deals with complaints and breaches of the code of conduct for influencer marketing, and issues decisions on whether there has been a breach of the code. The committee can also provide clarifications in advance.

Anyone who has a legal interest may bring legal proceedings and claims based on the infringement of one or more provisions of the Marketing Control Act. Such a requirement may, for example, entail that the court prohibits certain actions contrary to the Act.

Furthermore, a plaintiff may bring a claim for damages. In practice, this often happens in combination with demands for a ban.

The marketing authorities and other authorities play a key role in development in the sector. The authors have seen a focus on marketing in social media, and especially the control and focus on the actions of influencers. Similarly, the firm has also seen a strong focus on sustainability claims. Furthermore, the authorities have a strong focus on the marketing of cosmetics and health services towards young people and children, in addition to marketing towards children in general.

Norway has a strong tradition for prohibitions on advertising of alcohol and tobacco, and also prohibition on gambling and advertising of gambling. There is a strict ban on marketing in these sectors. Similarly, Norway has a strong focus on marketing directed towards children.

There have not been any major changes to the political climate or political administration, but see 1.9 Regulatory and Legal Trends and 1.10 Taste and Cultural Concerns with respect to the focus areas of the authorities. However, the authors note that currently there is a ban on all political commercials on linear television as set out in the Norwegian Broadcasting Act Section 3–1. As part of the national implementation of the EU Digital Services Act, the Norwegian Media Authority has stated that this ban will most likely be repealed.

The MCA prohibits acts which are in conflict with good marketing practice (the MCA, Section 2), and also prohibits unfair commercial practices (the MCA, Section 6).

A commercial practice is always unfair if it is misleading or aggressive (the MCA, Section 7). The provision of Section 7 implements Article 6 of the Unfair Commercial Practices Directive (Directive 2005/29/EC). The principle that marketing should be truthful and not misleading is one of the most fundamental principles of marketing law.

Section 7 states that a commercial practice shall be considered misleading if it contains false information and is therefore untruthful, or if it is otherwise likely to deceive consumers in relation to, for example:

  • the existence or nature of the product;
  • the main characteristics of the product, such as its availability, benefits or risks, the product’s execution, quantity, composition, specifications, accessories, origin, method and date of manufacture or provision of the product, delivery, usage or fitness for purpose, results to be expected from its use, tests or checks carried out on the product, or after-sale service and complaint-handling;
  • the extent of the trader’s commitments, the motives for the commercial practice and the nature of the sales process, any statement or symbol in relation to direct or indirect sponsorship, or approval of the trader or the product;
  • the price of the product or how the price is calculated, or the existence of a price advantage;
  • the need for a service, parts, replacement, or repairs;
  • the nature, attributes, and rights of the trader or the trader’s agent;
  • the rights of the consumers, including the right to replacement or reimbursement, or the risks the consumers may face; and
  • the trader’s duty to observe industry codes of conduct.

Any marketing of a product, including comparative advertising, which creates confusion with the product or trade mark, trade name, or other distinguishing mark of a competitor, shall also be considered misleading.

A claim to be “best”, “greatest”, “leading”, “number one”, or similar, without specification of what the statement refers to, is considered a general assertion. When using such a claim, the advertiser must be able to demonstrate the correctness of the claim in all areas of material importance to consumers. For example, when using a claim to be “largest”, one must be able to document that one is the largest in terms of turnover, number of intermediaries, and number of sales offices.

It is also considered misleading to give the consumer the impression that a service is free when it is not. If the “free” claim only applies to one part of the service or requires the purchase of other services, this must be clearly stated in the immediate vicinity of the free claim. When marketing a “free” product, the consumer can naturally expect the product to be completely free of charge. If it requires the purchase of other services, these terms and conditions must be clearly stated in the immediate vicinity of the free claim. When marketing a package with several different services, the trader may only market one or more of the services as “free” or similar if the cost of this service is not included in the package price.

The advertising claim is only to be regarded as misleading if it is likely to cause consumers to make an economic decision that they would not otherwise have made (Section 7, subsection 3 of the MCA). This means, for example, that traders may use exaggerated claims that will not be taken literally (the MCA, Section 6, paragraph 3, last sentence). This refers to obvious exaggerations and statements that cannot be true, nor will they be perceived as such.

Claims made in marketing shall be substantiated (the MCA, Section 3). When interpreting content of this obligation, consideration must be given to the Unfair Commercial Practices Directive. The preparatory work of the MCA explicitly states that the provision in the second sub-paragraph of Section 3 does not intend to go outside the scope of the Directive. Norwegian practice requires that claims that appear in marketing must be made probable. The requirement for substantiation must be adapted to variable conditions, and it may vary in strength depending on the type of products and customer to which the disputed claims apply. It will usually be required that claims can be substantiated by investigations carried out by neutral bodies with recognised professional expertise.

The MCA does not contain specific rules on product demonstration in advertising, but other rules, such as rules for substantiation of advertising claims, apply.

The MCA does not contain specific rules on endorsements and testimonials, but other rules, such as rules for substantiation of advertising claims and prohibition of misleading claims, apply. The trader is responsible for marketing in their channels, also when it takes the form of user endorsements and testimonials.

The following points are important.

  • There must be a genuine endorsement or testimonial. The trader must not allow anyone other than real consumers to write endorsements and testimonials. The trader must have systems that ensure that endorsements and testimonials are genuine.
  • Encouragements to consumers to submit user reviews must be neutral as to what kind of reviews are requested. It will be misleading if the trader does not allow consumers to give negative reviews of the product, by removing this possibility.
  • Payment or receipt of free products will quickly lead to the review being regarded as advertising and not ordinary endorsements and testimonials.

A commercial practice shall be considered misleading also if it, in its specific context and pursuant to an overall evaluation, omits or hides material information that consumers require in the context to be able to make an informed economic decision, or if it presents the information in an unclear, unintelligible, ambiguous, or unsuitable manner (the MCA, Section 8).

It follows from Section 2 of the MCA that marketing must not conflict with good marketing practice. In the assessment, emphasis is placed on whether the marketing violates general ethical and moral beliefs, or whether offensive measures are used. This section may be used to address misuse of stereotyping in advertising. It also follows from the Act, Section 2, subsection 2, that the advertiser and the person designing the advertisement must ensure that the advertisement does not violate the equality between the sexes, and that it does not exploit the body of one sex or give the impression of an offensive or derogatory assessment of a woman or man.

The Consumer Authority has sustainability claims in marketing as a high priority area. A number of provisions of the MCA may apply. The most relevant is the prohibition against unfair and misleading commercial practices, as regulated in, eg, Sections 6, 7, and 8. In addition, the requirements for good marketing practice and documentation for claims used in marketing are mentioned in, eg, Section 2, and Section 3, paragraph 2, respectively.

Sustainability claims in marketing will be misleading if they contain incorrect and untruthful information. The claim must also give consumers a precise picture of the product’s properties. Furthermore, it must be clearly stated whether the marketing claims in question relate to the trader’s business as such, or to one or more products offered by the trader.

It is also important not to exaggerate or oversell the ethical or environmental qualities highlighted in marketing. This means that marketing must not point out insignificant aspects of the product’s environmental impact, or ethical factors that relate to an insignificant part of the product or the product’s production chain.

By “dark patterns”, it is understood to be use of unfair commercial practices online, with a particular focus on deceptive design.

Norway is part of the EEA and has implemented GDPR. The legal provisions of the GDPR apply. In addition, the MCA may apply to dark patterns, but the provisions that may apply are spread out in the Marketing Act and the Personal Data Act (GDPR).

The MCA, Chapter 4 contains special provisions relating to the protection of children.

It follows from the MCA, Section 19 that when a commercial practice is directed at children, or may be seen or heard by children, particular care shall be exercised with regards to the impressionability, lack of experience, and natural credulity of children.

In the assessment of whether a commercial practice contravenes provisions in this Act, account shall be taken of age, development, and other factors that make children particularly vulnerable.

It follows from Section 20, subsection 2, that direct exhortations to children to purchase advertised products, or to persuade their parents or other adults to buy the advertised products for them, is prohibited.

Furthermore, it follows from the MCA, Section 20 that in the assessment of whether a commercial practice is unfair pursuant to Section 6, emphasis shall be given to whether the commercial practice is directed especially at children. Even if this is not so, emphasis shall be given to whether the practice, by virtue of its nature or the product, is likely to influence children, and to whether the trader can be expected to foresee the particular vulnerability of children to the practice.

In an assessment pursuant to Section 2 relating to good marketing practice of marketing directed at children, emphasis shall be given to, among other things, whether the marketing:

  • encourages breaches of the law, dangerous behaviour, or breaches of ordinary safety norms;
  • plays on social insecurity, a bad conscience, or poor self-confidence;
  • employs frightening means or is likely to cause fear or anxiety; or
  • employs aggressive means like violence, sexuality, or drugs.

In a former case, the Market Council found that it was unreasonable to send direct advertising of diet products to children under 18 years of age, referring to this section.

All marketing shall be designed and presented in such a way that it clearly appears as marketing (the MCA, Section 3). Hidden advertising is also considered an unfair commercial practice and is therefore prohibited (the MCA, Sections 6 and 8). An advertisement must clearly appear as advertising. It should be made clear to the reader that they are subject to advertising. It must also be clear who the advertisement is intended for.

For it to be clear that it is advertising, the marking must have a prominent position, be in clear writing, and have a large enough font size. “Prominent placement” means a placement that makes one see the marking immediately. The post must appear as advertising if it is shared; the reader should not have to look or scroll in a post to discover that it is advertising. One rule of thumb is that the advertising tag should be eye-catching when viewing the post.

It is important to use clear wording that everyone can understand. These words are sufficiently clear:

  • commercial;
  • advertising; and
  • advertisement.

Other words and phrases, such as:

  • in collaboration with;
  • competition;
  • recommendation; and
  • affiliate links,

do not make it sufficiently clear that the post is advertising.

The authors are not aware of any other such specific claims besides those already mentioned.

It is prohibited to use incorrect or otherwise misleading representations which are likely to influence the demand for or supply of goods, services, or other products. This follows from the MCA, Section 26. Pursuant to Section 26, the Ministry has issued a regulation with more detailed provisions relating to comparative advertising. The regulation implements Directive 2006/114/EF.

According to the regulation, comparative advertising is permitted only insofar as the comparison applies, when the following conditions are met:

  • it is not misleading;
  • it compares goods or services that meet the same needs or are intended for the same purpose;
  • it objectively compares one or more characteristics of those goods and services that are concrete, relevant, documentable, and representative, including the price;
  • it does not discredit or disparage a competitor’s trade marks, trade names, other trade dress, goods, services, business, or situation;
  • goods with a geographical designation of origin may only be compared with goods of the same designation;
  • it does not take unreasonable advantage of the reputation associated with a competitor’s trade marks, trade names, or other trade dress, or from the geographical designation of origin (reputation) of competing goods;
  • it does not produce goods or services as an imitation or copy of goods or services bearing a protected trade mark or trade name; and
  • it does not cause confusion among traders, between the advertiser and a competitor, or between the advertiser’s and a competitor’s trade marks, trade names, other characteristics, goods, or services.

It follows from the MCA, Section 7, subsection 3, that any marketing of a product, including comparative advertising, which creates confusion with the product or trade mark, trade name, or other distinguishing mark of a competitor, shall also be considered misleading.

A competitor may report the case to the Consumer Authority and ask that the Authority take action. The Authority may then decide whether to follow up.

However, a competitor may also take the matter to court. Anyone who has a legal interest may bring legal proceedings and bring claims based on breach of one or more provisions of the MCA. This includes challenges for claims made by competitors.

The parties can either bring such cases before the NKU or bring legal proceedings before the ordinary courts. A decision from the NKU is not binding.

It is permissible to bring a lawsuit alleging that an act or a claim is contrary to the Marketing Act and must cease. In addition to prohibitions, the most relevant sanction will otherwise be compensation. As a general principle, it is financial losses that can be claimed.

Under the MCA, ambush marketing will first be considered illegal as being in conflict with good business practice among businesses, or as being unfair or misleading towards consumers. There are no specific provisions regarding ambush marketing.

In general, there is no specific law regulating social media. The MCA, however, is media and technology neutral, which means it applies also to social media marketing.

However, the following special regulations apply in certain circumstances:

  • The Broadcasting Act applies to marketing on video blogs, such as videos on YouTube.
  • The E-Commerce Act has some special rules on electronic marketing, including rules for information society services, which include social media platforms. Section 9 includes special rules on price offers, advertising offers, such as discounts, gifts and prizes, and sales promotion competitions.

In general, it is unclear under Norwegian law whether advertisers may be liable for content posted by others. For example, the Norwegian Health Authorities, which oversee the ban on alcohol advertising in accordance with the Alcohol Act Section 9–2(1), have stated that they consider alcohol producers to be liable when others upload images of the alcohol and tag the producer. The Health Authorities believe that the alcohol producer has a responsibility to remove the tags, so that the content does not become available on their social media profiles. However, this has not been tried by the Norwegian courts, as of yet.

The MCA, Section 3 states that marketing must be designed and presented so that it clearly appears as marketing. The Consumer Authority has stated that they interpret this to mean, as a general rule, that advertising on social media must be marked, typically with the word “advertisement” or “marketing”. This does not apply if it is clear from the context that it is advertising, such as on a company’s own social media profiles. Whether or not it is clearly marked as advertising depends on an overall assessment. Such advertisement marking must therefore be adapted to the different social media platforms and space-constraints.

With effect from July 2022, Norway introduced a regulation on the duty to mark retouched images used in advertising, with an accompanying guideline on labelling retouched advertising. Section 2 of the MCA requires that all advertising where a body’s shape, size, or skin has been altered by retouching or other manipulation, must be marked with a standardised mark. The standardised brand should make up approximately 7% of the advertising space. As a general rule, the mark must be placed in the upper left corner of the advertising surface. The label can be downloaded from the Consumer Agency’s website in white or black. An example can be found here.

No social media platforms are banned in Norway. However, there are restrictions for certain government agencies and government representatives on use of certain platforms on their devices, such as TikTok and Telegram.

See 4.3 Disclosure Requirements. If a marketing action does not appear clearly as advertising, it will be regarded as a misleading omission of information contrary to the MCA, Section 8. Consumers must be able to understand when they are exposed to advertising, so that they can be critical of the content. The law requires that marketing must be designed and presented so that it clearly appears as marketing. If the advertisement is presented as editorial content, it must be clearly stated that it is advertising, typically with the text “advertisement” in the headline, or in another clearly visible place.

There is no special act and are no particular regulations for the use of influencer campaigns under Norwegian law. However, the MCA applies to such campaigns, and the Consumer Authority has issued penalties to influencers that are running campaigns in violation of the Act. See 1.11 Politics, Regulation and Enforcement.

Advertisers are the primary responsible for content uploaded by influencers on behalf of the advertiser. It is therefore the advertiser’s responsibility to ensure that the influencer complies with the rules in the MCA. However, recently the Consumer Authority issued two fines in connection with content posted by the influencer because the content was not marked as being an advertisement, one fine to the influencer (NOK200,000) and one fine to the advertiser (NOK300,000).

Advertisers who utilise user reviews in their marketing must comply with the MCA. The law has no special rules on the use of user reviews, but the general prohibitions against unreasonable and misleading marketing apply. User reviews must give a sufficiently indicative picture of the users’ views on the product or company that is mentioned. This means, for example, that the advertiser cannot delete negative user reviews, and that the advertiser must not hand out free products to consumers in exchange for them writing reviews that are presented as ordinary user reviews.

The starting point is that the advertiser is responsible for the marketing in its channels, also when it takes place in the form of user reviews. However, in the case of user reviews that the advertiser did not initiate or influence, consumers who read them are expected to understand that the advertiser cannot be held responsible for false claims about actual features and functions in individual reviews. The advertisement must nevertheless ensure that the published user reviews are presented in a way that is not misleading, for example, by not exclusively highlighting positive reviews or removing negative reviews.

The Marketing Control Act, Section 15 states that:

“It shall be prohibited in the course of trade, without the prior consent of the recipient, to direct marketing communications at natural persons using electronic methods of communication which permit individual communication, such as electronic mail, telefax, or automated calling systems (calling machines)”.

Section 15 (which implements the ePrivacy Directive, Article 13) states that it is prohibited to direct electronic communication to private persons without their prior consent. Consent is interpreted to mean an active consent (opt-in).

Please note that an exception to the prohibition applies to existing customers. E-mail marketing may be sent to existing customers. As a general rule, a one-off purchase will not be enough for a customer relationship to be said to exist. The key consideration is whether the trade makes it natural to have further contact between the trader and the customer. If this is not the case, it cannot be said that there is an “existing customer relationship”. One or more individual purchases of cheap consumables will never be sufficient for a customer relationship to exist. However, when buying a capital good, eg, a new car, customer follow-up is more natural.

Examples of situations where customer relationships are established are the following.

  • Ongoing contractual relationships where it is necessary for customer care with a certain amount of communication between the parties, such as subscriptions, account agreements, insurance contracts, service agreements, non-profit contribution agreements/permanent donor agreements, membership, and bonus card schemes.
  • Purchase of larger items, typically capital goods that are often accompanied by service agreements such as a car.

In order for the customer relationship not to be considered terminated, the marketing inquiry must also take place within a reasonable time after the sale.

Specific rules concerning telemarketing are found in the MCA Sections 12–16. Such marketing is allowed with some exceptions. The Central Marketing Exclusion Register shall enable consumers, if they so wish, to opt out of marketing from organisations other than voluntary ones. Traders shall update their address register in line with the Central Marketing Exclusion Register before their first inquiry, and before the inquiry in the month when the marketing is conducted.

It is prohibited to direct telephone marketing to consumers on Saturdays, Sundays, and other public holidays, and on working days before 09:00 and after 21:00.

In the case of unsolicited marketing by telephone or addressed mail, the trader must disclose who has provided the personal information that led to the inquiry.

The MCA, Section 15 applies to all electronic marketing. “Electronic mail” is defined in the Act as communication in the form of text, speech, sound, or image that is sent via an electronic communications network, and that can be stored on the network or in the terminal equipment of the recipient until the recipient retrieves it. This includes text and multimedia messages sent to mobile telephones.

The processing of personal data is regulated in the Personal Data Act which implements GDPR in Norway. The GDPR regulates the use of personal data in marketing. A topic that the Data Protection Authority has been concerned with is the use of personal data for targeted marketing. By collecting and analysing data, models for profiling can be developed. In August 2023, the Norwegian Data Protection Authority temporarily banned behavioural marketing on Facebook and Instagram. On these platforms, users are profiled on the basis of, among other things, information about where they are, what kind of content they show interest in, and what they post. The personal profiles are then used for marketing purposes – so-called behavioural marketing. The Data Protection Authority concluded that Meta’s practices were illegal and temporarily banned behavioural marketing on Facebook and Instagram. The case is still ongoing at the time of writing.

It follows from GDPR, Section 38 (compare with the Personal Data Act, Section 1), that children’s personal data deserves special protection, especially with regard to marketing and profiling. The rules on children’s consent in connection with information society services follow from Article 8 of the GDPR, Section 5. Information is required to be sufficiently clear for children and adolescents to give informed consent. For information society services, such as most online services and apps, parents must consent to the processing of personal data on behalf of children under the age of 13. Otherwise, the age limit is normally 15 years for children to consent to the processing of their own personal data. However, for sensitive personal data, such as information about health, political views, ethnicity, religion, or sexual orientation, the age limit is always 18 years.

Profiling of children for marketing purposes should normally be avoided.

There are no other important privacy rules related to advertising.

Competitions and sweepstakes may be used for marketing purposes.

The MCA, Section 18 did originally prohibit the use of competitions to which entry was “conditional upon purchase or a service in return”. However, this requirement was removed in 2015. A purchase requirement is thus not prohibited in a contest used for marketing in Norway. There is also no longer a requirement in Norway that the competition is based on skill. The terms and conditions of the competition or sweepstakes should be clearly stated. The MCA, Section 18, states that:

“Traders who, in marketing, offer consumers an additional advantage or an opportunity to secure such an advantage, for example, in the form of discounts, gifts, [or] participation in competitions or games, shall ensure that the terms and conditions for making use of the offer are clear and easily accessible to the consumers.”

Note, however, that lotteries and gaming are forbidden according to the Gaming Act. The Gaming Act applies to gambling where the participants can earn a win against a deposit or stake as a result of a draw, guess, or other procedure that gives a random outcome, in whole or partly. The three criteria are “deposit or stake”, “win”, and “full or partial random outcome”. The criteria must all be fulfilled in order for a game to be considered a lottery under the Gaming Act. In practice, participants to a sweepstake used for marketing will not pay a stake for entering the sweepstake, and the Gambling Act will therefore not apply to such activities.

There is no longer a requirement in Norway that the competition is based on skill for contests used in marketing. However, this distinction is important for whether the Gaming Act applies.

The Gaming Act applies to gambling where the participants can earn a win against a deposit or stake as a result of a draw, guess, or other procedure that gives a random outcome, in whole or partly. The three criteria are “deposit or stake”, “win”, and “full or partial random outcome”.

There is no requirement for registration when it comes to sweepstakes or contests used for advertising. However, for lotteries, which require that the organiser is a charitable organisation, it is a condition for obtaining permission from the Gambling Authority. As to what constitutes a lottery under the Gaming Act, see 7.1 Sweepstakes and Contests.

The MCA prohibits unfair commercial practices. A commercial practice is always unfair if it is misleading or aggressive. Claims made in marketing shall be substantiated (the MCA, Section 3).

It is considered misleading to give the consumer the impression that a service is free when it is not. If the “free” claim only applies to one part of the service, or requires the purchase of other services, this must be clearly stated in the immediate vicinity of the free claim.

The use of phrases like “cheaper” is also something that is utilised, and which may cause controversy. The claim must be considered specifically based on the individual situation. However, such claims may be perceived as a claim to be the cheapest in the market in many cases. The Consumer Authority demands that such claims must be documented.

Similarly, the traders must be prepared to document claims of reduced prices. Recently, Norway also introduced a section and a new regulation regarding the use of claims of reduced prices. Such rules are implemented in a new Section 9a of the Regulations relating to price information, eg, for goods and services, regarding price reductions (issued pursuant to the MCA). Section 9a states that where the price of goods is marketed as discounted or reduced, the trader shall provide information about the pre-price of the products. The pre-sale price that shall be used on the marketing must be the lowest price that the trader has applied for a minimum of 30 days before the marketing started. By lowest price is the price that has been applied to the product to the general public or other large groups of consumers belonging to different loyalty programmes or customer clubs. Where the price reduction increases gradually, the pre-price is the lowest price before the first price reduction.

The MCA, Section 6 prohibits unfair commercial practices, and Section 22 of the Act reads as follows:

“Terms and conditions ... in the course of trade with consumers may be prohibited if they are deemed to be unfair to consumers and if general considerations call for such a prohibition...”.

In the assessment of fairness, emphasis shall be given to the balance between the rights and obligations of the parties, and to the clarity of the contractual relationship.

There are several examples where these sections have been used to prohibit terms regarding renewal, and where the notice period has been considered too long.

The information about the automatic renewal should be clear and highlighted, and the period of notice may not be unfair to consumers.

As of now, there are/is no rules/guidance regarding artificial intelligence (AI). The Consumer Authority has stated that they are reviewing whether or not the guideline on labelling retouched advertising (as described in general in 4.3 Disclosure Requirements) will apply to advertising content developed using AI, or whether new legislation is needed.

The issue came to ahead in the Spring of 2023, when Sats, one of the largest fitness centre chains in the Nordic, placed an advertising billboard in front of the Norwegian Parliament, created by AI, asking for necessary legislation to ban advertising content created by AI.

In June 2023, the Consumer Council issued a report entitled “Ghost in the Machine: Addressing the consumer harms of generative AI”. In connection with the report, the Council, together with 14 other consumer organisations across the EU and US, demanded policymakers to act.

Once the regulation on AI in the EU, the AI Act, is finalised, it will be implemented in Norway. However, the regulation is still being negotiated in the EU.

As of now, there are/is no rules/guidance related to making claims that a product is developed through the use of AI, is powered by AI, or has AI-related capabilities. See 8.1 AI & Advertising Content.

There are currently no special rules related to the use of chatbots. See 8.1 AI & Advertising Content.

Advertising, marketing, or sale of cryptocurrency and NFTs are supervised by the Consumer Authority. There are no special rules for advertising of cryptocurrency and NFTs – the Marketing Control Act’s general rules apply.

Cryptocurrency and NFTs qualifying as financial instruments under the Securities Act, will be under the supervision of the Financial Authority.

The authors note that the Directive on Markets in Crypto-assets (MiCa) is expected to be implemented in Norway through the EEA agreement during 2024–2025. MiCa includes requirements applicable to marketing communications relating to the offering of crypto-assets and admission of such crypto-assets to trading, as well as conduct rules for crypto-asset issuers, such as an obligation to act honestly, fairly, and professionally, and related provisions on liability of issuers of crypto-assets.

There are currently no special laws or regulations that apply to advertising within the metaverse. Furthermore, to date, the advertising and marketing authorities have not addressed the issue.

There is specific legislation prohibiting, restricting, or dealing with certain types of advertising.

Alcohol

Pursuant to the Alcohol Act, Section 9–2, paragraph 1, it is prohibited to:

  • promote alcoholic beverages;
  • advertise goods with the same brand or characteristics as alcoholic beverages; and
  • let alcoholic beverages be included in the marketing of other goods or services.

The main purpose of the advertising ban is to prevent the influence that leads to increased demand for alcoholic beverages. In addition, the ban aims to maintain an understanding in the population that alcoholic beverages differ from other commercial goods, and that there is a need for a special regulation that limits alcohol consumption in Norway. In order to achieve the objectives, the ban is designed as a general ban on all forms of marketing of alcohol, but with some limited exceptions. The ban on marketing of alcohol is interpreted strictly by the Norwegian Directorate of Health.

Tobacco Products

Advertising is regulated in the Tobacco Damage Act, Section 22 and in regulations on the ban on tobacco advertising. All forms of advertising for tobacco products, including indirect advertising, are prohibited. The advertising ban also applies to tobacco equipment, tobacco surrogates, and tobacco imitations. The ban includes marketing for snus, chewing tobacco, and e-cigarettes.

Lotteries and Gaming Activities

The basic premise under Norwegian law is that all forms of gambling are prohibited, except where permission to operate such activities is granted under the authority of a legal statute (Norway has a state-owned gambling institution). Two state-owned companies, Norsk Tipping and Norsk Rikstoto, have a monopoly on a large part of the market, including gambling and horse racing, respectively. In addition, there is a private lottery market, including traditional lotteries and bingo. Only a few charitable organisations are granted licences to run such lotteries.

It follows from the Gaming Act that all marketing of unlicensed lotteries and gambling schemes (hereinafter referred to as “gambling”) is illegal. This includes:

  • advertisements for foreign gambling companies in newspapers and magazines, and on the radio and television;
  • advertisements for foreign gambling companies on websites and blogs, and in social media;
  • any mention that encourages visiting foreign gambling companies’ websites; and
  • links on a website to foreign gambling companies and/or casino portals.

Pharmaceuticals, Medicines, and Health Services

Advertising of medicines is regulated in the Act and Regulation on Medicinal Products and is permitted only for drugs that have been granted a Marketing Authorisation, and only towards health care personnel. Advertising of medicinal products to the public is only allowed for over-the-counter products (OTC), and only if examination or treatment by a doctor, dentist, or veterinary surgeon is not a prerequisite. All marketing material must be true, accurate, relevant, and not misleading.

Advertising or promoting a product that is not classified as a medicine, but is recommended as a means of preventing, healing, or alleviating illness, sickness symptoms, or pain, or affecting physiological functions, is prohibited. The purpose is to prevent undocumented claims about medical efficacy in advertising of products that are not medicines.

The Medical Devices Act does not contain specific regulations on advertising and promotion but, as a general principle, all claims used in advertising and promotion should be true, accurate, relevant, and not misleading, and the producers must be able to substantiate the claims.

Health Services

The Health Personnel Act contains provisions on the marketing of health services in Section 13. Marketing must be justifiable, sober, and objective. The provision contains an objective requirement that the result of the marketing is justifiable. Marketing must be sober and factual. This means that marketing must not contain information that may mislead patients or the general population.

Pursuant to the Health Personnel Act, Section 13, the Ministry of Health has issued regulations on the marketing of cosmetic procedures. The purpose of the regulations is to help ensure that the marketing of cosmetic procedures takes place in a prudent, sober, and objective manner, and so that the patient’s safety is ensured. The regulations apply to plastic surgery and procedures on the skin and subcutaneous tissue, and injections or disposal of fillers and drugs, where cosmetic or aesthetic considerations are a decisive indication for the procedure. The marketing must not be offensive or play on blemishes or prejudices against normal body variations. The marketing must not downplay the risk associated with interventions, and the description of the interventions must reflect sound methods. The marketing must not contain pre- and post-operative images. Health personnel must be particularly careful in the design of their marketing so that the marketing is not perceived to be aimed at children under the age of 18, or so that the marketing in any other way contributes to body image pressure among children. The County Governor supervises compliance with the regulations.

Traditional and Complementary Medicine (T&CM)

The Act relating to the treatment of disease, illness, etc (the “Alternative Treatment Act”) applies to anyone offering or practising T&CM in Norway. The Consumer Authority oversees the marketing regulations for T&CM, and the general rule is that persons offering such treatment must give “an objective and factual description of the nature of that activity”. In other words, T&CM providers are not allowed to define or use claims as to what type of diseases or conditions their treatment is claimed to be effective against.

Cannabis

There is no legalisation of cannabis in Norway other than for medical use, prescribed by a doctor. Advertising for illegal products would be considered to be in conflict with good marketing practice (the MCA, Section 2).

Food and Foodstuffs

Anyone who produces, imports, or sells foodstuffs, is responsible for labelling the food product correctly and in accordance with current regulations. The Food Information Regulation sets out the general and special requirements for food labelling. The Food Information Regulation implements the provisions of EC food regulations in Norway. The general rules can be found in the Food Information Regulations. In addition, there are separate provisions for a number of food groups. In general, there is a requirement that the labelling must be correct, provide sufficient information, and not mislead the consumer.

Cosmetics

The labelling and presentation of cosmetic products, and the advertisements and other marketing of such products, shall be correct, give the recipient adequate information, and not be misleading (Section 7 of the Act relating to Cosmetic Products and Body Care Products).

Supplements

For supplements, all businesses involved in the production, processing, or distribution of the products shall ensure that the marking, presentation, advertising, and marketing are correct, provide the recipient with sufficient information, and are not misleading. Furthermore, there are detailed rules on health claims that may be used in the marketing of foodstuffs and supplements, found in the regulation on nutritional and health claims on foods. Only permitted nutrition claims and approved health claims may be used.

Note that the list above is not exhaustive.

The Broadcasting Act includes special rules regarding product placement and labelling thereof in entertainment content in broadcast and other on-demand audio-visual services. This includes video-sharing platforms such as YouTube.

Pursuant to the Broadcasting Act, Section 3–6, product placement in broadcast and other on-demand audio-visual services are prohibited, except for the following.

  • “In films, fictional series, sports programmes, and light entertainment programmes, with the exception of programmes particularly directed at children.
  • The right, according to the third paragraph, does not include programmes produced or ordered by [the] Norwegian Broadcasting Corporation or associated enterprises.”

The Broadcasting Act, Section 3–7 requires programmes that contain permitted product placement to meet the following requirements.

  • “The content and scheduling of the programme cannot, under any circumstances, be influenced in such a manner as to affect the responsibility and the editorial independence of the media service provider.
  • The product placement cannot directly encourage the purchase or rental of goods or services, including by making special sales-promoting references to such goods or services.
  • Product placement must not give the relevant product or service undue prominence.
  • To prevent viewers from being misled, programmes containing product placement must be identified in a clear and neutral manner at the beginning and end of the programme, as well as when the programme resumes after an advertising break.
  • Programmes produced or ordered by media service providers subject to Norwegian jurisdiction or associated enterprises, cannot contain product placement of products or services of particular interest to children, or of weapons, model weapons, or toy versions of weapons.
  • Programmes produced or ordered by television enterprises subject to Norwegian jurisdiction or associated enterprises, cannot contain product placement financed by political party organisations.

The requirement in [bullet-point four] does not apply to programmes that have not been produced or ordered by the media service provider or associated enterprises.”

Concerning the identification requirements in bullet-point four for programmes that are ordered or produced by media services or associated enterprises, the Norwegian Media Authority has a suggestion for a certain symbol to be used. Such symbol can be found here.

According to the guideline issued by the Media Authority for video-sharing platforms, if the product is the main focus of the video, it is considered to be an advertisement, but if the product is not the main focus, then it is considered to be product placement; eg, if the video is mainly consisting of editorial content. The guidelines state the following in terms on how to label product placement.

  • Label the video in writing “P – Inneholder produktplassering” (“P – Contains product placement”) both at the start and end of the video.
  • The label must be visible for at least four continuous seconds.
  • The label must be sufficiently large and entirely clear against the background so that it can be easily read.

The following is a non-exhaustive list of other specific rules or restrictions applicable to the advertisement of any other category of products or services whose advertising is subject to specific regulation.

  • Alcohol – the ban on advertising in the Alcohol Act also applies to other products that carry the “the same brand or distractive mark as alcoholic beverages” and such products cannot be used in advertisement for other goods and services (Section 9–2).
  • Tobacco – the ban on advertising in the Tobacco Damage Act also prohibits the use of a brand name or trade mark which is mainly used for tobacco products to be used in advertisement for other goods or services.
Bull & Co Advokatfirma AS

Universitetsgata 9
0164 Oslo
Norway

+47 23 01 01 01

bull@bull.no www.bull.no
Author Business Card

Trends and Developments


Authors



Bull & Co Advokatfirma AS is located in Oslo and has a total of 73 lawyers. There are five partners and five associates in the firm’s IP group covering advertising and marketing law. Bull & Co is the exclusive Norwegian member of the Global Advertising Alliance, in addition to other international networks. The group covers all intellectual property, marketing, and advertising-related work, including clearances of campaigns and competitions, go-to-market preparation, and clearances for global and Nordic brands. The firm’s group attracts a loyal client following among domestic and global clients, especially within consumer goods, B2B, and information technology. These include the likes of Vestre, Varier Furniture, and Puma.

Regulating Promotion Activities in an Evolving Market

Some topics traditionally stand out under Norwegian marketing laws. Topics that have always had a strong focus in Norway are marketing rules relating to gambling, alcohol, nicotine, and cigarettes, in addition to very strict marketing of medical products (pharmaceutical) and claims indicating a medical or health effect. In this article, the authors highlight some of these traditional problem areas, but also some recent trends and topics which are expected to be important for traders in the coming years, such as the duty to mark retouched images, influencer marketing, marketing of cosmetics, Dark Patterns, and sustainability claims.

Marketing of alcoholic beverages is prohibited

Pursuant to the Alcohol Act Section 9-2, first paragraph, it is prohibited to promote alcoholic beverages. The ban on marketing for alcohol is interpreted strictly by the Directorate of Health. The ban applies to beverages containing more than 2.5% alcohol by volume.

The main purpose of the advertising ban is to prevent increased demand for alcoholic beverages. In addition, the ban aims to maintain an understanding in the population that alcoholic beverages differ from other commercial goods, and that there is a need for a special regulation that limits alcohol consumption in Norway. To achieve these objectives, the ban is designed as a general ban on all forms of marketing of alcohol towards the public, but with some limited exceptions.

Advertising within the meaning of the Alcohol Act is understood as “any form of mass communication for marketing purposes”. The intention is whether the communication has the potential to reach more people, and not whether it actually does.

Any communication with the purpose of promoting the sale of alcohol or other goods/services will be considered as marketing of alcohol. The following important factors are used to assess the intention.

  • Who is the sender of the information? If the sender has a financial interest in informing about or giving associations to alcohol, this will be a strong indication that there are marketing purposes, which typically applies to suppliers, importers, manufacturers, and other industry players.
  • What is the content of the information? The Market Council has maintained that it has the presumption that the information about the products is available on the website to promote sale, and that this is at least a central and desired effect of the product review. This applies even if the information is given in a sober and informative manner.
  • How is the information presented? The advertising ban applies to all channels, including social media and on the product’s label/packaging. If the information is to be regarded as mass communication for marketing purposes, the channels or media that are used to convey it will not be of importance. A homepage may therefore be perceived as such a marketing channel.

It is also prohibited to advertise other goods with the same brand or characteristics as alcoholic beverages, pursuant to the Alcohol Act Section 9-2, first paragraph, second sentence. The purpose of the prohibition is to target advertising of non-alcoholic and low-alcohol goods that in reality also function as advertisements for alcoholic beverages. Historically, low-alcohol drinks, especially light beer, were used to advertise stronger beers. This became the issue in a case before the Supreme Court in 2000, where several sports clubs, including football teams, promoted breweries. The court held that the promotion was illegal, despite the fact that these breweries also were selling non-alcoholic products.

Furthermore, the law prohibits the inclusion of alcoholic beverages in advertisements for other goods and services. Even if the advertisement primarily concerns goods other than alcoholic beverages, it is illegal if alcoholic beverages, or goods with the same brand or characteristics as alcoholic beverages, are included in the advertisement. For example, images, illustrations, or names of alcoholic beverages in advertisements for clothing, travel, or other goods or services are prohibited.

It would therefore be illegal to include people drinking alcohol in advertisements for other goods or services, as this will be construed as alcohol-positive content, or paid product placements for alcoholic products in TV programmes.

However, editorial coverage of alcoholic beverages in newspapers and other publications with editorial freedom are permitted as protected speech, pursuant to Article 100 of the Constitution. The foregoing will not include customer magazines and similar publications, as such publications will generally not be considered to have editorial freedom, as the purpose behind the publication will normally be to promote the sale of goods or services (marketing purposes).

Informative advertisements in trade journals and other information to licence holders as part of the ordinary sales process for alcoholic beverages are allowed, according to the Alcohol Regulation 14-3. Necessary communication in the trading process between actors in the alcohol industry – ie, producers, wholesalers, and licence holders and their employees – is therefore allowed. This includes the business as such and its owners, but also employees who have a legitimate interest in evaluating alcohol products for the purpose of purchase.

Sober, non-product-specific, factual information concerning alcoholic beverages, which the recipient must actively seek out, is also allowed. The purpose of the exemption is to enable consumers to obtain general information about alcoholic beverages directly from the industry.

The advertising ban does not affect alcohol advertising in foreign media, provided that the advertising is in accordance with the country’s advertising rules and it is not aimed at Norwegian consumers. However, Norwegian rules will apply if Norwegian consumers, for example, are directed to a website through a QR code on the labels.

Marketing of tobacco products is prohibited

Advertising of tobacco products is regulated in the Tobacco Damage Act Section 22 and in regulations on the ban on tobacco advertising.

Similar to the alcohol ban, all forms of advertising for tobacco products, including indirect advertising, are prohibited.

The Tobacco Damages Act, including the advertising ban, applies to tobacco and products containing tobacco, but also to tobacco substitutes. Tobacco substitutes are defined as “products that are equivalent to tobacco products in use, but which do not contain tobacco”. This means that the advertising ban applies to pouches (Norwegian: “snus”), with and without tobacco, and e-cigarettes.

The advertising definition is the same as with alcoholic products, and, therefore, if the mass communication is done for the purpose of promoting the sale of the product or other products/services, it will be considered as advertising, no matter the type of media.

As with alcoholic products, the advertising ban also covers indirect advertising (including other goods and services, and the use of trade marks of tobacco products for other goods and services).

Lotteries and gaming activities

There is broad political consensus that gambling with money must be regulated to prevent undesirable gambling behaviour. Two state-owned companies, Norsk Tipping and Norsk Rikstoto, have something of a monopoly on a large part of the market, including gambling and horse racing, respectively. A few charitable organisations are granted licences to run the private lottery market, including traditional lotteries and bingos.

According to the Gaming Act, all marketing of unlicensed lotteries and gambling schemes (referred to as “gambling”) are illegal, including:

  • advertisements and other advertisements for foreign gambling companies in newspapers, magazines, radio, and television;
  • advertisements and other advertisements for foreign gambling companies on websites and blogs, and in social media;
  • any mention that encourages visiting foreign gambling companies’ websites; and
  • links from websites to foreign gambling companies and/or casino portals.

Section 2 of the Gaming Act states that the Law applies to:

“gambling in which participants, against a deposit, can win a prize of economic value and the outcome is completely or partially random.”

All three terms, “deposit”, “win”, and “random outcome”, must be met for the activity to be considered gambling.

The gambling monopoly and the advertising ban have been challenged several times over the past few years. The argument has been that they contradict the principle of free trade under the EEA Agreement. The courts have consistently maintained that the gambling monopoly is legal.

The Gambling Authority follows the marketing in social media closely and is active in enforcing the rules to prevent marketing directed towards Norway. In 2022, the Authority found that the gambling company Unibet was in breach of the Gambling Act and issued an order with an administrative fine of NOK1.2 million per day for as long as the breach continued, capped at NOK437 million.

The Authority also monitors the large social media sites like Facebook and YouTube and co-operates with these sites in stopping illegal advertisements. Apparently, Facebook is, for the most part, able to stop illegal marketing activities aimed at Norway. According to the Authority, two reports of illegal activities were sent to Facebook in 2021, and in both cases, Facebook removed the content.

The general marketing prohibition for unlicensed gambling operators has not stopped international gambling providers from marketing their products through channels using broadcasting (TV broadcasting) based outside of Norway. The TV channels again based their right to broadcast on the EU Broadcasting Directive 89/552/EEV, which applies to Norway. The basic principle of this Directive states that broadcasters only need to follow the rules in the country they are based, not in the country they are broadcasting to. Foreign-based TV channels used the principle as a way to circumvent Norwegian TV regulations and freely broadcast otherwise illegal marketing to Norwegian consumers, usually from a British jurisdiction.

However, the Broadcasting Act was amended with effect from 1 January 2021, to enable the Norwegian Media Authority to impose orders to prevent access for online distributors for services sent from abroad if the content is illegal. The change resulted in major TV companies, such as the NENT Group and Discovery, stopping the broadcast of gambling advertising. However, this seems to have put more pressure on influencers and advertising volumes in social media, which in turn will probably attract more focus from the Authority to such activities.

Health benefit claims

Health benefit claims in marketing have long been a focus area for Norwegian authorities. It is a fundamental principle that marketing should be true and not misleading, and that claims need to be documented. The Food Safety Authority carried out an audit project in 2020–2022 to investigate claims used to market 50 Norwegian dietary supplements. The report published in 2022 showed that nine out of ten dietary supplements examined by the Authority were illegally labelled.

Health benefit claims must be distinguished from medical claims. Medical claims are claims which give the impression that the product prevents, cures, or alleviates disease, disease symptoms, or pain are reserved for approved medicines and medical devices.

Health effect claims may in some cases be allowed to promote products. A “health claim” is any claim that states, suggests, or gives the impression that there is a link between a product or one of its constituents and health. Such claims may only be used if they can be documented or if they are approved by the European Commission (EC), from a list of pre-approved claims.

Marketing for cosmetic procedures

Currently the Marketing Authority runs a strong campaign towards illegal marketing of cosmetic procedures. There are strict rules, and the key points are as follows.

  • The general rules of marketing apply.
  • Special marketing rules that apply to marketing to children, or marketing that can be seen or heard by children, will also often apply.
  • The authorities have been targeting influencers involved in marketing of cosmetic procedures.
  • The stricter special rules for the marketing of cosmetic procedures means that it is not allowed to:
    1. include before and after pictures;
    2. include consumer loan offers;
    3. be offensive or play on people’s blemishes or prejudices against normal body variations; or
    4. be designed so that it can be perceived by children under the age of 18 to be aimed at their age group or designed in a way that contributes to body image pressure in children.

Regulation relating to the labelling of retouched advertising

The new regulation relating to the labelling of retouched advertising (the “Regulation”) took effect on 1 July 2022, and is a unique regulation to Norway which affects domestic and foreign brands that advertise in the Norwegian market. If a Norwegian advertiser receives and uses advertisement material from foreign advertisers, the Norwegian advertiser is responsible for assessing whether the advertisement needs to be labelled. If the advertisement is targeting Norwegian consumers, foreign advertisers and creators are required to follow the Regulation.

The labelling requirement applies to all advertisements which include retouching and other forms of manipulation of “body shape, size, or skin”; that is, whenever alterations have been made to the body or face shape, body or face size, or the skin of the body of the person in the advertisement.

The Regulation was enacted with the purpose to counteract the body pressure created as a result of unrealistic and unhealthy ideals of beauty. As a result, the Marketing Control Act Section 2 was revised to require that all advertising where a body’s shape, size, or skin has been altered by retouching or other manipulation, must be marked with a standardised brand.

The standardised brand/mark should make up approximately 7% of the advertising space. As a general rule, the mark must be placed in the upper left corner of the advertising surface. The label can be downloaded from the Consumer Agency’s website in white or black.

The Consumer Agency has issued guidelines to help advertisers and those designing the ads, including explanations on the meaning of “retouching or other manipulation”. All forms of advertising must be labelled, including social media. The Regulation does not have retroactive effect, however, it is worth noting that it will apply to any relaunch of old advertisement material.

Influencers

The Consumer Authority has worked actively to prevent hidden advertising, and in recent years their efforts have largely focused on illegal advertising through influencers.

The Marketing Control Act (the MCA) states that hidden marketing is prohibited. All marketing should be clearly disclosed as marketing and it needs to clearly present what is advertising, eg, where the influencer receives an economic benefit from the presentation. Thus, it must be stated that the content is paid marketing.

Influencers are often used in marketing of products aimed at a younger audience. Because children have more difficulty identifying marketing and distinguishing it from other communication, it is important that marketing initiatives that are aimed at children or can be seen or heard by children, are designed so that it is obvious to the relevant target group that it is marketing (see the MCA Section 19).

It is up to the responsible party as to how he/she marks the post, as long as the MCA requirements are complied with so that the advertising clearly appears as such, so one is able to perceive that there is advertising included before or at the same time as one sees the post and who the advertiser is. For it to be clear that it is advertising, the marking must have:

  • prominent position;
  • clear writing; and
  • large enough font size.

“Prominent” position means that one sees the marking immediately. A clear statement should be placed before the post informing that the content is “marketing” or a “commercial message”.

It is important to use clear wording that everyone can understand, and “advertisement” is a word which clearly describes the content. It will usually not be sufficient to state that the influencer is sponsored or paid, as such statements are often reserved for cases where the sponsor has no influence over the content of the post.

If the content is in Norwegian, the marking should also be in Norwegian. This means that English words like “ad” or “ad links” are not clear enough. Additionally, the post should always state who the influencer is advertising for.

Sustainability claims

The Consumer Authority has flagged that sustainability claims in marketing is a high priority area, and recently published guidelines for sustainability and for sustainability claims specifically towards the fashion industry. The authors expect that the Authority will focus even more on sustainability claims and on strict enforcement of illegal claims in the future.

Sustainability claims will be considered misleading if the claims contain incorrect and untruthful information pursuant to the MCA Sections 6, 7, and 8. Sustainability marketing must provide an indicative and correct representation of the relevant benefits of the product. Documentation proving that the claims are correct must be presented together with marketing in accordance with the MCA Sections 2 and 3 (paragraph 2).

Furthermore, the claims must provide consumers with a precise picture of the product’s properties, and it must be clearly stated whether the marketing claims in question relate to the trader’s business as such, or to one or more products offered by the trader.

Marketing should not be designed to exploit consumers’ concerns about the environment, climate, or ethical issues, or to exaggerate or oversell the ethical or environmental qualities highlighted in marketing. This means that marketing must not point out insignificant aspects of the product’s environmental impact, or ethical factors that relate to an insignificant part of the product or the product’s production chain. The traders should also avoid confusing information about sustainability work for the entire business and information related to specific products.

Dark Patterns

Together with other Nordic Consumer Protection Authorities and the EU, the Norwegian Consumer Authority places focus on digital fairness and so-called Dark Patterns (the use of unfair commercial practices online, with a particular focus on deceptive design).

In 2021, the Consumer Council issued a report focusing on Amazon Prime’s cancellation process and the use of manipulative design. At the same time, a complaint was submitted to the Consumer Authority, which was later lifted to a European level, led by the European Commission. It was pointed out that the problems with the cancellation process included that it was long, complicated, contained confusing options, and consistently tried to get the consumer to keep the subscription. The work resulted in a change of the design from Amazon Prime’s side. The new design consists of shortening and simplification of the cancellation process.

The work against manipulative design continues, and the authors expect an increased focus on this area in the coming years.

Bull & Co Advokatfirma AS

Universitetsgata 9
0164 Oslo
Norway

+47 23 01 01 01

bull@bull.no www.bull.no
Author Business Card

Law and Practice

Authors



Bull & Co Advokatfirma AS is located in Oslo and has a total of 73 lawyers. There are five partners and five associates in the firm’s IP group covering advertising and marketing law. Bull & Co is the exclusive Norwegian member of the Global Advertising Alliance, in addition to other international networks. The group covers all intellectual property, marketing, and advertising-related work, including clearances of campaigns and competitions, go-to-market preparation, and clearances for global and Nordic brands. The firm’s group attracts a loyal client following among domestic and global clients, especially within consumer goods, B2B, and information technology. These include the likes of Vestre, Varier Furniture, and Puma.

Trends and Developments

Authors



Bull & Co Advokatfirma AS is located in Oslo and has a total of 73 lawyers. There are five partners and five associates in the firm’s IP group covering advertising and marketing law. Bull & Co is the exclusive Norwegian member of the Global Advertising Alliance, in addition to other international networks. The group covers all intellectual property, marketing, and advertising-related work, including clearances of campaigns and competitions, go-to-market preparation, and clearances for global and Nordic brands. The firm’s group attracts a loyal client following among domestic and global clients, especially within consumer goods, B2B, and information technology. These include the likes of Vestre, Varier Furniture, and Puma.

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