#Lohan Lawsuit Against E*Trade: Lessons for Advertising Execs

When first broadcast, this E*Trade ad went right over my head. Apparently it caused quite the brouhaha with former child-star and current child-like actress Lindsay Lohan, who sued E*Trade this past March for defaming her personality and argued that this TV ad dissed her personality.

According to today's news, E*Trade settled the lawsuit with Lohan--ironically the same day that a bench warrant was issued for Ms.Lohan's arrest after two drug tests revealed that she violated the terms of her probation for the earlier DUI charges that Lohan was convicted of.

We love E*Trade's push-the-envelope creativity; but merely serves as a reminder that when budgeting for advertising creative with their agencies, big (and little) brands should include an expense line item for "frivolous litigation" for each commercial. 


The Lohan suit brings to mind a current legal action brought by the makers of legacy brand "Purell" against a women/minority-owned company that makes and markets a competing alcohol-free hand sanitizer. For those not aware, Purell, like most hand sanitizer products, is made from alcohol, and when mixed with orange juice, produces a 120 proof libation. (instructions: first mix the alcohol gel with two tspns of salt; then pour the liquid remains into a cup, then add o.j.)

The legal action in question has the big behemoth alleging that the small, no-alcohol product company is "dissing" the Purell product by claiming in its advertising the big brand's formula is notorious for among other things, irritating the skin.  The big gorilla also takes exception to the fact that the "Lilliputian" points out in its 'advertising material' that alcohol-based sanitizers are flammable and worse still, the small company referenced a NBC Today Show segment in which Matt Lauer told the world about a 2007 report issued by The Association of Poison Control Centers that found alcohol-based hand sanitizers were responsible for almost 12,000 cases of alcohol poisoning in kids 6 and under. 

Tea Baggers Take Note: If any of you nutjobs very determined if not slightly misguided people actually get elected to a position of influence, your first piece of legislation should be to rein in the right to sue ham sandwiches and to make the 1st Amendment required reading in every grade throughout public school, starting with the 1st grade.