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Advertising News South Africa

ASA Fees for 2004

When the Marketing Communications industry reached agreement on ASA funding for 2004 and beyond, certain directives in regard to the use of the funds were given to the ASA.

The Industry Forum, representing the MFSA, Cinemark, OHMSA, PMSA and NAB, directed the ASA to use the funding provided by the industry to 'apply itself more vigorously to the public aspect of its mandate'. It further stated that services offered to the industry 'should be largely self-funding by increasing the appropriate fees'.

As from January 2004 the ASA will largely channel the funding provided by the industry into raising consumer awareness of the ASA and servicing the higher number of complaints likely to result from the increase in awareness.

To assist especially the smaller advertiser, the ASA Board agreed to initially partly subsidise industry to industry complaints. Even so, a substantial increase in complaint fees will apply as from 2 January 2004.

The fee structure for 2004 will be as follows:

Investigation fee – R5 700

A non-refundable fee of R5 000 + R700,00 VAT = R5 700 is to be paid by any commercial entity that lodges a complaint against an advertiser. The Directorate will, after the amount has been deposited, investigate the complaint, obtaining the respondent's point of view as well as expert opinion where justified. The Directorate will issue a ruling or refer the matter to the relevant committee where appropriate, unless the matter is otherwise resolved during the course of the investigation.

First level Appeal – R6 270 deposited by both parties

If in competitor matter, a decision of the Directorate is appealed, the Appellant and the Respondent will be required to deposit an amount of R5 500 + R750 VAT = R6 270 with the ASA. The winner will be refunded R3000 + VAT and the remainder will be used to cover the costs of the Appeal, including the costs of the independent Chairperson who chairs the hearing and is responsible for writing the ruling.

Final Appeal

In a competitor matter, the Appellant and Respondent will be required to deposit R18 500 + R2 590 VAT = R21 090 with the ASA. The winner will be refunded R15 000 + VAT and the remainder will be used to cover the costs of the Appeal, including the costs of the President of the ASA who chairs the Appeal and is responsible for writing the ruling.

In an effort to keep costs to a minimum industry members serving on the Advertising Industry Tribunal (14 members) and Appeal Committee (6 members) are not remunerated for their preparation time or for attendance of hearings.

Should a commercial entity wish to lodge an appeal against a ruling of the Directorate or the Advertising Standards Committee, where the complaint originated from a consumer, the same fee structure will apply.

In line with international practice, services to consumers are free of charge.



Editorial contact

The Advertising Standards Authority
Dineo Pooe
Tel: (011) 781 2006

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