Advertisers Drag FG, ARCON to Court over Industry Reform

Raheem Akingbolu

The Advertisers Association of Nigeria (ADVAN) has challenged the position of the federal government on the reformation of the advertising industry’s practice.

Speaking during a press conference in Lagos, ADVAN President, Osamede Uwubanmwen, announced that the association had officially gone to court to challenge the constitutionality of the Advertising Practitioners Council of Nigeria Law and the Ministry of Information, being the oversight ministry.

According to Uwubanmwen, the move became necessary after a thorough and deliberate consideration of the law’s implications for the advertising industry and its members.

Two years ago, in line with best practices, the Advertising Regulatory Council of Nigeria (ARCON) had ordered that payment for media and other advertisement services should be done within 45 days, among other reformative steps taken to standardise the industry.

ARCON had then stated that the reform was embarked upon after engagement with major stakeholders in the advertising industry and presented the outcome of a business regulatory framework which was mandated by the then Minister of Information and Culture, Alhaji Lai Mohammed.

ARCON Director General, Dr. Lekan Fadolapo, who addressed the leadership of the various sectoral bodies at a press conference, thus unveiled a new Advertising Industry Standard of Practice (AISOP), which he said would deepen the business relationship among advertising agencies, their clients, and the media.

It was also stated that the industry-standard practice would unravel the lingering debate surrounding credit policy as well as payment of pitch fees in the industry.

According to the ARCON chief, the process started with the setting up of an all-inclusive committee made up of all sectoral groups in the industry to produce a suitable framework that defines a minimum standard, to have equal and fairly represented opinions that will form the guidelines of the entire advertising ecosystem.

He added that the committee was set up in April 2021 and was chaired by a former President of the Association of Advertising Agencies of Nigeria, Funmi Onabolu, which after a thorough joint brainstorming, in collaboration with ARCON, presented a minimum acceptable standard of practice framework that is suitable and is globally acceptable.

The current legal action taken by ADVAN had its foundation from the opposition of the association to the proposed reform from the word go.

Uwubanmwen, added at the last week’s conference that ADVAN viewed the current legal action as an essential response to safeguard the interests of its members and the integrity of the marketing profession in Nigeria.

“The decision to challenge the ARCON law is rooted in the organisation’s unwavering commitment to upholding the Nigerian constitution and ensuring the rule of law prevails in the country,” he stated.

Speaking further, the ADVAN boss said his members did not take the matter lightly as a law-abiding brand that hold the Nigerian constitution in the highest esteem.

“The ARCON Law, as it stands, has raised concerns that need to be addressed. We have engaged in numerous dialogues and consultations, and we want to clarify that while there were discussions suggesting that ADVAN had already gone to court, that was not official.

“We can now confirm that we have indeed taken the matter to court to challenge the constitutionality of the law,” he added.