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A 3rd U.S. Circuit Court of Appeals ruling last week against the National Dairy Promotion Board and its “Got Milk?” spots has left marketing boards wondering whether national ads via state-run organizations can be funded by involuntary assessments.
“We faced this issue in a court case in California several years ago and won,” said Nancy Fletcher, vp of communications for the California Milk Advisory Board. “[But] commodity boards may have to face [other] challenges like this.”
Eight of the national groups that have assessment-based marketing plans have faced some form of constitutional challenge.
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