CONTENT REWARDS FTC COMPLIANCE TERMS
Effective Date: September 1st, 2025
These FTC Compliance Terms ("Terms") form part of the Content Rewards Terms of Service and apply to all Earners and Sellers participating in the Content Rewards Program ("Program"). By participating in the Program, you acknowledge and agree to comply with all terms set forth herein.
1. PURPOSE AND SCOPE
1.1 Applicability
These Terms apply to all users who create, submit, or publish content in connection with the Content Rewards Program, including but not limited to promotional content, endorsements, reviews, and user-generated content featuring Seller products or services.
1.2 Educational Nature
While Content Rewards provides tools, templates, and guidance regarding FTC compliance, such resources are provided for educational purposes only. Content Rewards does not provide legal advice and does not guarantee the compliance of any content created by Earners or Sellers.
1.3 Individual Responsibility
Each Earner and Seller is solely and individually responsible for ensuring that all content they create, publish, or distribute complies with all applicable laws and regulations, including but not limited to the Federal Trade Commission Act, FTC Endorsement Guides (16 CFR Part 255), and any other federal, state, or local laws governing advertising and endorsements.
2. PLATFORM ROLE AND LIMITATIONS
2.1 No Pre-Approval
Content Rewards does not pre-approve content for FTC compliance. Content may be published immediately upon submission and may become publicly visible before any review occurs.
2.2 No Verification Obligation
Content Rewards has no obligation to verify, validate, or confirm the FTC compliance of any Deliverable submitted through the Platform.
2.3 Right to Reject
Content Rewards and Sellers reserve the right to reject any Deliverable for non-compliance with these Terms, including but not limited to failure to include required disclosures.
3. MATERIAL CONNECTION DEFINED
3.1 Definition
A "Material Connection" means any relationship between an Earner and a Seller that may affect the weight or credibility of the Earner's endorsement or statement, including but not limited to:
(a) Monetary compensation or expectation of monetary compensation; (b) Free products, services, trials, or access; (c) Discounts, store credit, promotional codes, or giveaway entries; (d) Employment, business partnership, or family/personal relationships with the Seller; or (e) Any other consideration of value provided or promised by the Seller.
4. DISCLOSURE REQUIREMENTS
4.1 Mandatory Disclosure
An Earner must clearly and conspicuously disclose any Material Connection with a Seller when:
(a) The Earner receives or expects to receive compensation or anything of value in exchange for creating or publishing content; (b) The Earner expresses a personal opinion, recommendation, or endorsement of the Seller's product or service; (c) The Earner makes statements that imply approval, benefit, or personal experience with the Seller's product or service; (d) The Earner appears in video or audio content in a manner that personally connects the Earner to the endorsed content; or (e) The Earner remixes, comments on, or adapts Seller content in a manner that suggests personal recommendation or endorsement.
4.2 Disclosure Standards
All required disclosures must be:
(a) Clear and Conspicuous: Easily noticeable and understandable by ordinary consumers; (b) Unavoidable: Placed where consumers cannot miss them; (c) Proximate: Located in close proximity to the endorsement or claim; (d) Unambiguous: Using plain language that clearly communicates the commercial relationship; and (e) Platform-Appropriate: Formatted according to the technical limitations and best practices of each distribution platform.
4.3 Placement Requirements
Disclosures must be included:
(a) At the beginning of video or audio content (within the first 10 seconds if oral disclosure); (b) At or near the top of written captions or descriptions; (c) On every platform where the content is published; (d) In every format in which the content appears (video, audio, caption, thumbnail, overlay); and (e) In a manner that does not require consumers to click, scroll, or take additional action to view.
5. PLATFORM-SPECIFIC REQUIREMENTS
5.1 Short-Form Video Platforms (TikTok, Instagram Reels, YouTube Shorts)
(a) Oral disclosure of paid relationship within the first 10 seconds if Earner appears on camera or provides voiceover; (b) Text overlay disclosure visible for a sufficient duration; (c) Written disclosure in caption; and (d) Use of platform-native paid partnership tools where available.
5.2 Instagram
(a) Activation of Instagram's "Paid Partnership" tag where applicable; (b) Placement of "#Ad" or equivalent disclosure at or near the beginning of the caption; and (c) Disclosure must not be buried among numerous hashtags.
5.3 X (formerly Twitter)
(a) "#Ad" or "Paid by [Seller Name]" disclosure must appear in the primary post text; (b) Disclosure must be visible without expanding the post; and (c) Disclosure must not rely solely on profile bio or pinned tweets.
5.4 YouTube
(a) Oral disclosure in the video content; (b) Written disclosure in video description; (c) Caption file disclosure where captions are provided; and (d) Disclosure in video thumbnail if Earner's image appears or content is promotion-focused.
6. ACCEPTABLE DISCLOSURE LANGUAGE
6.1 Compliant Disclosures
The following disclosures satisfy the requirements of these Terms when used appropriately:
(a) "#Ad" (b) "Paid partnership with [Seller Name]" (c) "I was paid to post this" (d) "Sponsored by [Seller Name]" (e) "Advertisement" (f) "[Seller Name] paid me to create this content"
6.2 Non-Compliant Disclosures
The following do NOT satisfy the disclosure requirements of these Terms:
(a) "#Collab" or "#Collaboration" (b) "#Sp" or "#Spon" (c) Merely tagging the Seller's social media account without additional context (d) Disclosures buried in extensive lists of hashtags (e) Vague terms such as "partnership" or "thanks to [Seller]" without clarification (f) Disclosures placed at the end of long captions or descriptions
7. DELIVERABLES AND CAMPAIGN STRUCTURE
7.1 Definition of Deliverable
A "Deliverable" means any piece of content submitted under a Content Rewards Offer, including but not limited to:
(a) Social media posts on any platform; (b) Video content including commentary, reactions, or original footage; (c) Audio content including voiceovers, podcasts, or audio clips; (d) Remixed or edited content incorporating Seller-provided materials; or (e) Any other content published on a public or semi-public platform.
7.2 Submission and Publication
(a) Earners may submit Deliverables at any time using eligible content provided by or associated with the Seller; (b) Deliverables may be published and become publicly visible immediately upon submission without pre-review; (c) Content Rewards and Sellers reserve the right to review Deliverables after publication.
7.3 Approval Process
(a) After publication, the Seller or Content Rewards may approve or reject any Deliverable; (b) Approval is granted at the sole discretion of the Seller or Content Rewards; (c) Rejection may occur for any reason, including but not limited to non-compliance with these FTC Compliance Terms.
8. COMPENSATION AND PAYMENT TERMS
8.1 Payment Conditions
Earners will receive payment for approved Deliverables based on:
(a) The number of verified views or other performance metrics specified in the applicable campaign; (b) The payment terms and rates established for the specific campaign; (c) Availability of campaign budget at the time views are verified; and (d) Full compliance with these Terms and all other applicable Content Rewards Terms of Service.
8.2 Rejected Deliverables
(a) Earners will not receive payment for Deliverables that are rejected for any reason, including non-compliance with disclosure requirements; (b) Upon rejection, Earners may elect to remove the content from public view or leave it published at their sole discretion; (c) Leaving rejected content published does not create any obligation for Content Rewards or the Seller to approve or pay for the content.
8.3 Campaign Termination
(a) When a campaign ends or exhausts its allocated budget, Earners will not receive payment for additional views or engagement; (b) Content Rewards will make reasonable efforts to notify Earners of campaign status but is not obligated to provide advance notice of campaign termination.
9. CONSEQUENCES OF NON-COMPLIANCE
9.1 Loss of Payment
Failure to comply with the disclosure requirements set forth in these Terms may result in:
(a) Rejection of the non-compliant Deliverable; (b) Forfeiture of payment for the non-compliant Deliverable; (c) Withholding of payment for other Deliverables pending compliance review.
9.2 Account Actions
Repeated or egregious violations of these Terms may result in:
(a) Suspension of the Earner's account; (b) Permanent removal from the Content Rewards Program; (c) Termination of all pending payments; (d) Referral to appropriate regulatory authorities if legally required.
9.3 Indemnification
Earners agree to indemnify, defend, and hold harmless Content Rewards, its affiliates, and Sellers from any claims, damages, losses, liabilities, and expenses (including reasonable attorneys' fees) arising from the Earner's failure to comply with FTC regulations or these Terms.
10. LEGAL AND REGULATORY FRAMEWORK
10.1 Governing Regulations
These Terms are designed to facilitate compliance with:
(a) Federal Trade Commission Act, 15 U.S.C. § 45; (b) FTC Guides Concerning the Use of Endorsements and Testimonials in Advertising, 16 CFR Part 255 (as amended 2023); (c) FTC publication "Disclosures 101 for Social Media Influencers"; (d) FTC publication "What People Are Asking: Endorsement Guides FAQs"; and (e) Any other applicable federal, state, or local advertising regulations.
10.2 Changes in Law
Content Rewards reserves the right to modify these Terms at any time to reflect changes in applicable law or FTC guidance. Continued participation in the Program after such modifications constitutes acceptance of the updated Terms.
10.3 No Legal Advice
Nothing in these Terms constitutes legal advice. Earners are encouraged to consult with qualified legal counsel regarding their obligations under federal and state advertising laws.
11. GENERAL PROVISIONS
11.1 Severability
If any provision of these Terms is found to be unenforceable or invalid, the remaining provisions will continue in full force and effect.
11.2 Entire Agreement
These Terms, together with the Content Rewards Terms of Service, constitute the entire agreement between the parties regarding FTC compliance obligations and supersede all prior understandings or agreements.
11.3 Waiver
Failure by Content Rewards to enforce any provision of these Terms does not constitute a waiver of that provision or any other provision.
11.4 Acknowledgment
By participating in the Content Rewards Program, you acknowledge that:
(a) You have read and understood these FTC Compliance Terms; (b) You are solely responsible for ensuring your content complies with all applicable laws; (c) You understand that non-compliance may result in loss of payment and removal from the Program; (d) You will not hold Content Rewards liable for any regulatory action resulting from your non-compliant content.
Last Updated: September 1st, 2025
For questions regarding these Terms, please contact Content Rewards compliance team.
