June 9, 2026, 5:37 am | Read time: 3 minutes
According to a ruling by the Cologne Regional Court, Instagram advertising may need to be clearly identifiable much earlier. The court believes it may not be sufficient for users to learn a post is an ad only after opening it. The presentation in the profile overview could already be decisive. The ruling from May 12, 2026 (Case No. 88 O 1/26) has only now been made public.
Competition Center Took Action Against Instagram Posts
The proceedings were triggered by a lawsuit from the Competition Center, according to the law firm WBS.LEGAL, which specializes in media and internet law. The lawsuit challenged several Instagram posts from a company that publishes event tips.
The profile displayed paid notices for leisure activities, parties, and events alongside editorial-looking recommendations. The preview view was particularly criticized. The paid posts did not visually differ from the other recommendations. Additionally, some opened posts lacked a clear indication like “advertisement” or “ad” at the beginning of the accompanying text.
As a result, users could not easily discern which content was based on a paid collaboration and which was not.
Court Finds Labeling Inadequate
The company in question considered its presentation sufficient. Based on available information, it argued that attentive and “informed” users could recognize the commercial background from the overall appearance.
However, the Cologne Regional Court did not agree with this argument. The decision states that it is not enough for the advertising nature of a post to become clear only after clicking. Instead, the preview image must already indicate that it is an ad. This requires appropriate labeling.
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Advertising and Content Must Be Clearly Separated
The ruling is based on a principle that also applies in other media areas. Editorial content and advertising must be clearly separated. This involves laws such as the Act Against Unfair Competition and the State Media Treaty. The commercial purpose of a post must not be obscured unless it is already clear from the context. According to the court, the profile overview is also relevant. It can influence whether users perceive a post as a neutral recommendation or as advertising.
According to the ruling, it is not just the opened post that matters. The first impression within a profile can be crucial. While a notice in the text remains important, it may not be enough if a paid post initially appears like ordinary content.
Creators of paid posts should therefore label them so that the commercial nature is immediately visible. The case cites a clear indication directly in the image or video as an example.
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Potential Consequences of the Ruling
The decision could also have implications for Instagram itself. It is conceivable that the platform might offer a separate ad labeling for the profile overview in the future. Paid posts could thus be clearly marked there.
Such a solution could benefit influencers, media brands, companies, and operators of recommendation sites. Whether Instagram will respond to the decision and introduce a corresponding feature is currently uncertain. Additionally, the ruling is not yet legally binding.