New regulations have come into force to restrict advertising and trading in the immediate vicinity of the Olympic and Paralympic events, known as “event zones”. The regulations cover England, with similar regulations to cover Wales and Scotland.

The aim is to prevent ambush marketing (the attempt by a non-sponsor to suggest a connection with an event) in the event zones, of the sort which has been prevalent in past Olympics and other sporting events.

Event zones

The event zones are clearly identified using maps and coloured boundary lines, and are available for inspection on the London 2012 website as well as at the Department for Culture, Media and Sport, the Olympic Delivery Authority (ODA), and the offices of the local authorities responsible for the area in which the event zone sits.In general, the event zones are areas around the major Olympic venues; for example, the Olympic Park and Wembley Stadium. In some cases, such as the marathon route, they are narrow strips along the highways with broader areas in the public parks that the race passes, and at the start and finish of the race.

The Regulations apply to:

• Tube and rail stations with any part above ground within an event zone. These stations are included in their entirety, both above and below ground.
• The entire structure of any bridge that carries a road within an event zone.
• The airspace above an event zone, and pavement, land or water within two metres of either side.

Event period

The Regulations only apply during the relevant event period(s). These periods generally cover the day before an event takes place, until the end of that day or the last day that events are occurring in that event zone. The specific periods for each zone are set out in the Regulations. The period for the Olympic Park is the longest.
Advertising activity

The Regulations prohibit advertising activity within the event zones, both on public and private land (regulation 6(1)) that is not authorised by the London Organising Committee of the Olympic and Paralympic Games.

"Advertising activity" includes:

• Displaying, projecting, emitting, screening or exhibiting any kind of advertisement (widely defined) whether it is of a commercial or non-commercial nature.
• Carrying or holding an advertisement or apparatus on which the advert is displayed.
• Distributing or providing a document or article for the purposes of promotion, advertisement, announcement or direction as part of an ambush marketing campaign.
• Displaying an advertisement on an animal, or carried or held by one.
• Specifically as part of an ambush marketing campaign: carrying or holding personal property which displays an advert, wearing advertising attire, or wearing a costume that is an advertisement or clothing on which an advertisement is displayed, or displaying an advert on a person’s body (though there is an exception regarding individuals.

However, displaying an advert on a mobile phone (or equivalent device) will not amount to an advertising activity unless the advertiser intends it to be displayed to the public at large rather than only to the individual using the device.

Trading

Trading activities are prohibited within the event zones, except as actively authorised by the ODA or where exemptions apply. The Regulations are not designed to prevent "normal" trade in shops or other businesses within event zones.

Trading activities include any of the following, if done in an "open public place":

• Selling an article, which includes exposing or offering an article for sale.
• Supplying a service, including offering to supply a service.
• Making an appeal to the public to give money or property to charity.
• Providing public entertainment for gain or reward.

Any such trading will require a licence from the ODA. However, permanent buildings normally used as shops, restaurants, bars, pubs or other eating and drinking establishments, as well as petrol stations and car parks, are exempt from the restrictions as long as they continue their normal trade.There are some other exemptions, including trading on private land adjacent to exempt retail premises, provided it forms part of the usual business.Liability and enforcement

Engaging in advertising or trading activities in contravention of the Regulations is an offence, incurring the penalty of an unlimited fine on indictment or £20,000 on summary judgment for which directors or those responsible for the location involved can be personally liable and is also an arrestable offence (section 39, LOGPA). It is a defence that the contravention occurred without their knowledge or despite them taking all reasonable steps to prevent it.
T
he ODA will initially promote compliance through information, advice and co-operation, but will use its enforcement powers (including entering private land) where there is deliberate, targeted ambush marketing or persistent disregard for its advice. The reasonable costs of the ODA (and police) in taking enforcement action can be recoverable from the person responsible for the contravention.

Permitted advertising activity

Exceptions allowing what would otherwise be prohibited "advertising activity" under the London Olympic Games and Paralympic Games (Advertising and Trading) (England) Regulations 2011 (SI 2011/2898) include (among other things):Wearing advertising attire, displaying an advert on your body or carrying or holding personal property with an advert on it where the person so doing does not have reasonable cause to believe that they are participating in an ambush marketing campaign (although the organiser of the ambush marketing campaign will not be excepted from any offence) (regulation 8).

Certain adverts which fall within classes of advertisement that do not require planning permission under the Town and Country Planning (Control of Advertisements) (England) Regulations 2007 (SI 2007/783). These include adverts:

• on enclosed land not readily visible from anywhere to which the public has a right of access;
• on vehicles normally employed as a moving vehicle (including bicycles), not principally used for the display of adverts (for example, advertising on buses or taxis);
• incorporated into the fabric of buildings;
• non-illuminated and inside a building;
• relating to the persons, partnership or company carrying on a profession, business or trade at the premises; and
• relating to religious, educational, recreational, medical institutions, hotels, inns, public houses, club, B&Bs, at the premises where displayed.
• Newspaper and periodical distribution.
• Displaying an advert on an aircraft for certain specified purposes.
• Displaying a mark or inscription (other than an illuminated sign) on the body of an aeroplane or helicopter (regulation 10(6)).
• Displaying an advert on street furniture, provided that it is not illuminated, bears only the name, contact details, and device of the manufacture, owner and/or operator, and is not part of an ambush marketing campaign (regulation 10(7)).
• Advertising by persons authorised by the London Organising Committee of the Olympic and Paralympic Games.

The Regulations are made under sections 19 and 25 of the London Olympic Games and Paralympic Games Act 2006 (LOGPA), as amended by the London Olympic Games and Paralympic Games (Amendment) Act 2011 (the Amendment Act) which received Royal Assent on 14 December 2011. The Regulations cover England, with similar regulations to cover Wales and Scotland.

If you would like further information regrding the matters outlined in this article please contact Ewan Carr on 0115 9888 777 or via ecarr@fraserbrown.com

Article produced from content supplied by Practical Law Company, 25th January 2012.