Stop Scrolling, Start Protecting: Your Startup’s Media Liability Checklist

Decoding the Four Horsemen of Media Liability

Media is an all-encompassing sector with the ability to reach many audiences with diverse messages, making media liability cases just as manifold—let’s explore the four most prominent ones.

Libel & Defamation

We’re all too familiar with this legal risk. It’s all over the news lately, from musicians pressing defamation charges against music labels due to certain lyrics, such as Drake suing Universal Music Group (UMG) over Kendrick Lamar’s lyrics in “Not Like Us”to politicians suing news channels for misinformation—California governor Gavin Newsom recently sued Fox News for wrongfully portraying his calls with Donald Trump.

These legal claims can apply to written or spoken words that falsely harm an individual or company’s reputation, whether it’s a misstated fact in ad copy, a negative review, or inappropriate commentary on social channels

Copyright Infringement

As an area that thrives on creativity, media companies are no strangers to copyright and intellectual property infringement (IP) cases. These come about when someone uses a creator’s work—photo, video, music, or text—without proper licensing, leading to accusations of disseminating content without permission and plagiarism.

For instance, an individual or company could re-share viral content without permission, use unlicensed stock music in a production, or apply fonts in an ad campaign without purchasing them first, triggering infringement allegations.

Such lawsuits can get quite intricate and blur the lines of ownership, as seen by the recent wave of AI-related lawsuits posed by artists. On the other hand, copyright and likeness can get quite tricky in the legal arena: Model Gigi Hadid has been sued several times by paparazzi for posting pictures of herself and her sister taken by them without proper crediting or permission. In some instances, she has settled, in others, she has won, and more recently, she simply did nothing—it remains to be seen whether this was a smart move in future cases.

Right of Publicity / Privacy

In the topic of likeness, talent and marketing agencies, and production companies could run into another media liability due to improper use of someone’s image, name, or likeness, or the other way around. As such, it’s unlawful to use a person for commercial gain without their full consent, like using an old photo of a non-exclusive talent, filming non-consenting individuals in a public space for commercial use, or failing to secure proper model or location releases.

Although this was still quite common in the past—like a model suing indie band Vampire Weekend for $2 million for using her picture on their album cover without her consent—today’s lawsuits have evolved to match technological advancements like AI. For example, Disney and Universal are currently suing AI image generation platform Midjourney due to the use of some of the companies’ characters, calling it “piracy.”

Breach of Contract / Slander of Title

The media sector is filled with contracts that talent, agencies, production companies, and other parties must abide by—from a small gig deal to a massive sponsorship opportunity. One individual might have contracts with multiple agencies, companies that sponsor them, and other individuals they’ve partnered with, and it’s not always easy to keep up with promises made.

As a result, breach of contract or slander of title charges could arise in cases like advertising injury, with the latter stemming from someone claiming they own content they actually don’t. An instance of these situations could be failing to advertise a brand after signing a contract to do so at a certain event—this happened to Mike Tyson after he failed to promote a gambling company the day of his high-profile fight against YouTuber Jake Paul.

The Media Liability Prevention Checklist (4 Key Pillars)

Although media liability risks loom large in the industry, this essential checklist can help keep them at bay through thorough legal procedures, vetting processes, staff training, and, above all, clear communication.

Pillar 1: Ironclad Licensing & Documentation (The Media Liability Legal Shield)

Companies dealing with third-party original content, like music, pictures, and footage, must have documentation proving they’ve paid for their commercial use rights. This rule of proof is infallible against any accusations that you’ve unlawfully used the content.

Moreover, production companies and talent agencies that need location and talent releases must use standardized, clear, and comprehensive ones for every model, actor, and location, even if the person is an employee or the location is a client’s office—it’s always better to be safe than sorry when it comes to media liabilities.

And, when it comes to contracts, ensure your client specifies that they will indemnify you for any content they provide to you for use. This is much better in written form, so collaborators can’t claim they own the content they created for you down the line.

Pillar 2: The Media Liability Vetting Process (The Editorial Guardrail)

Sometimes, you look at messy social media posts or ad campaigns and think, “How many people approved this?” That’s another hidden media liability. As someone in the industry, it’s much better if your work doesn’t inspire these thoughts. This is why instituting a two-tier sign-off is primordial. Establish a two-person review process for all high-risk social media channels, websites, or print content before publication, like anything touching politics, controversial topics, or competitor references.

Moving on, claims of fact, such as types of statistics, product performance, and competitive statements, should require source citation and third-party verification, especially in the ad and marketing business.

And lastly, define clear internal guidelines for commenting and posting behavior, and train staff on what is considered defamation, harassment, or infringing content.

Pillar 3: Internal Systems & Training (The Culture of Compliance)

Creating a safety culture is a must for those looking out for media liabilities in the business, starting with an IP steward. This is a delegated individual, even part-time, who will stay on top of all asset files, licenses, and expiration dates.

Plus, your business should also conduct mandatory training on Copyright Law 101, including aspects of media liability insurance coverage and cyber security. and defamation practices for all creative, editorial, and management staff.

It should also implement a “when in doubt, attribute or don’t use” rule by teaching teams how to correctly cite, link, and embed content. This handy NPR article summarizes why attribution is paramount, whether you’re a journalist or generally work in media.

Pillar 4: Contractual Clarity (The Client Firewall)

Defining ownership in any media sector is essential for practical reasons—at the end of a project, you don’t want to leave people guessing who owns what. This is where Scope of Work (SOW) IP ownership comes in to help you clearly define who owns the final creative work (usually the client) and who is responsible for obtaining initial licenses (usually the agency).

As such, you must also have a detailed process for content hand-off and license transfer/termination when a client relationship ends. When all is said and done, this will help you avoid claims arising months later.

Protecting the Balance Sheet: Media Liability Coverage

Although the prevention checklist is quite comprehensive, adding an extra layer of protection in the form of insurance will make your organization less vulnerable to costly disruptions in the case of legal claims. Even with the best protocols, human error, bad-faith lawsuits, and unavoidable mistakes still happen. The real risk of the cost of defense a company would have to shoulder on its own.

Unfortunately, a simple general liability insurance won’t do much for most media claims, as they’re non-physical/non-bodily injury-related. Policies like Errors and Omissions (E&O) or a dedicated Media Liability insurance would do a much better job in the sector.

As a rule of thumb, you must ensure your policy covers the following elements:

• Legal Defense Costs (the biggest expense).
• Damages for copyright/trademark infringement.
• Claims for defamation, libel, and slander.
• Claims arising from content across all platforms (print, digital, social).

Your Risk Management Toolkit For Media Liability Coverage

Media liability is a business cost, not an optional expense—down the line, a proper risk management strategy with a robust protection checklist and insurance coverage can greatly benefit your business by dodging unwanted legal costs. These two elements work hand-in-hand to fully shield your company from the sector’s rising risks.

In the same vein, implementing the media liability checklist should also include reviewing it with your legal counsel and insurance broker to ensure you’re taking the right steps toward protecting your organization and addressing the necessary questions.

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