What Happens to the Contract When an Engaged Influencer Is Involved in a Scandal
This article was automatically translated from the Japanese original. Read the original in Japanese
If a scandal occurs while an influencer is engaged, the first step is to suspend ongoing posts based on the compliance clause in the contract. After that, you confirm the facts and decide whether to continue the contract. The decision on whether to continue should be made only after fact confirmation is complete.
Why Suspend Posts First
If posts continue while it remains unclear whether the reported scandal is true or how much it relates to the brand, the brand itself risks being seen as a party involved. By suspending ongoing posts based on the compliance clause in the contract, the brand can hold its position in reserve until fact confirmation is complete. Suspending posts does not mean terminating the contract—it is a temporary measure to assess the situation.
What to Confirm During Fact-Checking
You need to confirm whether the reported content is true, what explanation the influencer provides, and whether the matter falls under the compliance clause defined in the contract in relation to continuing the engagement. Rather than judging based on speculation or surrounding information alone, proceed to the next decision based on confirmed facts.
How to Decide Whether to Continue the Contract
The decision should be made based on the criteria set out in the contract. If the criteria are clear, you can reach a conclusion in line with the conditions agreed upon in advance, without being swayed by emotional reactions. Even if the contract continues, the timing and content of resumed posts need to be renegotiated. If the contract has no applicable clause, the decision must be made case by case, taking into account the nature of the incident and its impact on the brand.
What Should Be Defined in the Contract in Advance
The conditions for suspension when a scandal occurs, the conditions for contract termination, and the method for settling compensation upon termination should all be defined at the time the contract is signed. If you try to decide these conditions after an incident has already occurred, discrepancies in understanding between the two parties are likely to arise.
Scope of This Article
This article covers the initial contractual response when a scandal occurs involving an engaged influencer. For guidance on whether brands should delete posts when an influencer faces online backlash, see Should Brands Delete Posts When an Influencer Faces Online Backlash?
Conclusion
When a scandal occurs, the first step is to suspend posts, then confirm the facts before deciding whether to continue the contract. Defining criteria in the contract in advance is what enables a calm, composed response.