Sequential Liability
Douglas J. WoodReed Smith Hall Dickler
In the aftermath (we hope) of a recession that saw bankruptcies of both advertisers and advertising agencies, the concept of sequential liability was widely debated' Its application to the advertising industry, however, remains unclear' As advertisers begin to substantially increase their media spending, now is a good time to review the concept and history of sequential liability and discuss its future'
Bankruptcies and Early Media Liability
In the early 1900s, advertising agencies worked for the media, not the advertisers, receiving commissions from...