Are Advertising Agencies Subject to the FTC Act?
Yes. In addition to the advertiser, the advertising agency also may be held legally responsible for misleading claims in ads. Advertising agencies have a duty to make an independent check on the information used to substantiate ad claims. They may not rely on an advertiser's assurance that the claims are substantiated. In determining whether an ad agency should be held liable, the FTC looks at:
• The extent of the agency's participation in the preparation of the challenged ad; and
• Whether the agency knew or should have known that the ad included false or deceptive claims.
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For more information, see here: http://business.ftc.gov/documents/bus35-advertising-faqs-guide-small-business
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