On March 25, 2013 the Russian government presented a new legislative initiative aimed at exercising stricter control over food additives and life science advertising: draft law no. 246197-6 “on amending the federal law ‘on advertising’ and article 14.3 of the Code of Administrative Offenses” (the draft law).1
Administrative liability may apply to advertising distributors
Russian advertising law provides certain requirements regarding the advertising of biological and food additives. However, violation of these requirements results in administrative liability only for the company that orders the advertising, and not for the advertising distributor. To evade liability, advertisers can enlist fly-by-night companies to order advertising on TV channels and radio stations. Where there are violations, the Russian authority cannot impose administrative fines, as these companies are wound up at the moment of the administrative investigation. As a countermeasure, the Russian government plans to introduce administrative liability for advertising distributors as well.
Warnings in advertising
Current Russian law provides that food additives listed in advertising should be restricted to those that are pharmaceuticals or that have a medical effect. As this requirement is often violated, the Russian government suggests that non-medicinal additive information in advertising should be accompanied by a warning that the additive in question is not a pharmaceutical, and that these warnings should be:
- in radio advertising, no less than three seconds;
- in TV and cinema theatres advertising, no less than five seconds and occupying no less than seven per cent of the image/picture area;
- in other types of advertising, no less than 10 per cent of the advertising space.
Fines increased
To date, the violation of special provisions on additives and life sciences advertising incurs liability which is the same for violations of other advertising rules (with several exceptions): the administrative fine for a company ranges from RUR 100 000 to RUR 500 000, and/ or the fine for a corporate executive ranges from RUR 4 000 to RUR 20 000. The draft law provides that a special provision should be introduced to the Russian Code of Administrative Offenses focused on violations of additives and life sciences advertising provisions. Should the draft law mature into law, the minimum fine for a company will be increased from the current RUR 100 000 to RUR 200 000, and the minimum fine for a company's executive will be raised to RUR 10 000 from the current RUR 4 000.
Footnotes
1. The official Russian text of the draft law can be found at http://static.consultant.ru/obj/file/doc/fz_260313-3.pdf
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