The International Chamber of Commerce today launched a revised International Code on Sponsorship, emphasizing the sponsored party's freedom of choice.
The voluntary code, first launched in 1992, has been revised to give greater precision about the relationship between sponsor and sponsored party. The new code takes account of explosive growth in this form of marketing over the past 10 years, especially in media, Internet and public sector sponsorship.
Helen Day, Vice Chairman of the European Sponsorship Association, said: "Sponsorship is no longer merely an association, it is a commercial agreement offering rights and benefits to the parties. ESA is delighted to have been associated with the revision and fully endorses the new code."
The code was presented at the 13th ESA Congress here, on the theme "Sponsorship in a changing world."
A new article states: "It should be recognized that the sponsored party has absolute right to decide on the value of the sponsorship rights that they are offering and the appropriateness of the sponsor with whom they contract."
Another article seeks to ban the practice known as "ambushing", claiming association with an event, when no link actually exists. It states: No party should seek to give the impression that it is a sponsor of any event or of media coverage of an event, whether sponsored or not, if it is not in fact an official sponsor of the property of the media coverage."
Referring to multiple sponsorship agreements, the revised code states that the sponsored party should not accept
a new sponsor without ensuring that it does not conflict with any rights of sponsors already contracted.
An introduction says the code is designed primarily as an instrument of self-discipline. It is an interpretative aid for the parties and a reference for courts or arbitrators in sponsorship disputes.
ICC international marketing codes and guidelines also cover advertising practice, environmental advertising, sales promotion, direct marketing, advertising and marketing on the Internet, and direct selling. A joint code with ESOMAR - the world association of opinion and marketing research professionals - covers marketing and social research.
The ICC self-regulatory codes on marketing and advertising are often applied as a reference point for solving national or cross-border disputes. They can be effective in three ways:
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They may be enacted in national legislation;
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They can be applied directly by companies, professional associations and self-regulatory bodies;
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They can be adapted to local or specific professional requirements.
ICC Commission on Marketing and Advertising
ICC International Code on Sponsorship