Posts Tagged: Commercial Co-Ventures

What Do You Need to Know about Commercial Co-Ventures?

Join me this Friday, February 16, from 1:00 to 2:30pm to learn the specific legal issues that are arising within commercial co-venture campaigns. With many companies today engaged in cause marketing, including commercial co-ventures in which a portion of their sales are donated to charity, it is important to know what cause marketing constitutes a commercial co-venture, how to comply with nationwide state laws, and how to identify and navigate specific legal issues that arise when contemplating a commercial co-venture campaign and their solutions. The webinar will also explore the charities’ obligations when involved in commercial co-ventures. (more…)

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Commercial Co-Ventures What a Charity Needs to Know

Yay!  Big brand wants to team up and donate part of the purchase price of its sales to your charity.  Do you just have to sit back and watch the money come pouring in?

Procedurally, no; substantively, (mostly) yes.  Even though the “work” in a commercial co-venture may be done primarily by the commercial company in terms of registrations and actual product selling, a charity has a number of its own obligations that cannot be ignored.

A short primer:  Buy this + we donate that = commercial co-venture.  Simple. (more…)

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The Three Dirty Words A Company Involved in Cause Marketing Doesn’t Want to Hear

George Carlin had seven dirty words.  Spongebob Squarepants had 13 bad words (7 regular/6 sailor).  And New York State has 6,942 dirty words that can’t be used on vanity plates.  But commercial co-venturers should be aware of three dirty words: Professional Fundraiser, Professional Solicitor, and Fundraising Counsel, because if your cause marketing campaign drifts into these areas, you may want to scream another dirty word.

These categories are treated differently from commercial co-venturers under charitable solicitation laws because these people get paid for their fundraising activities and therefore, the state regulators are more cautious and have imposed much more stringent registration, bonding and reporting requirements.  (more…)

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Guidance From Commercial Co-Venture Caselaw: A Unicorn of a Topic

There are not many court decisions concerning commercial co-ventures.  In fact, there are perhaps five.  This is far less than the number of decisions involving unicorns (seriously).  Nevertheless, these few court decisions provide some guidance on how a court may look at claims involving alleged violation of commercial co-venture laws.  Let’s take a look:

Attorney General v. Bach, 81 Mass. App. Ct. 1126 (2012):  Company sold tickets to a “show house” with proceeds to go to charity.  No contract with charity.  No registration (note: MA).  Show not a big hit.  Company went under.  Unknown if donation actually made.  Two years later, MA attorney general brought action against the owner personally.   Court found owner violated CCV laws.  Permanent injunction issued precluding owner from failing to comply with the act. (more…)

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