Why celebrity endorsements continue long after contracts officially expire

With the Madras High Court recently dismissing an appeal filed by actor Tamannaah Bhatia against a soap manufacturer, alleging that her images were used without authorization after the expiry of a contractual agreement, entertainment industry experts say the long-tail problem of celebrity content misuse has surfaced yet again.

Even when a brand stops producing new packaging, old stock featuring a celebrity’s face can remain in small retail stores or distributor warehouses for months—sometimes longer. But the issue now extends far beyond leftover inventory.

The long tail problem

Misuse has evolved beyond expired contracts. It now includes fake endorsements, unauthorized marketplace listings, regional adaptations, and increasingly, AI-generated versions of celebrities.

Many brands experiment with AI during campaigns but fail to clearly define AI rights in contracts. This creates a grey zone where a celebrity’s digital likeness can be recreated, reused, or scaled without explicit consent. The fallout is not just reputational—it affects exclusivity, pricing power, and long-term brand alignment.

“Brands often continue using old campaign content even after contracts expire, sometimes due to oversight, and sometimes deliberately to avoid renewal costs. Legally, this goes beyond breach of contract and enters the realm of personality rights, where a celebrity controls commercial use of their identity,” said Aishwarya Kaushiq, partner, disputes team, BTG Advaya.

Contract gaps

Post-expiry use of celebrity images remains a persistent issue in India’s endorsement market, particularly among regional and mid-tier brands that often view the cost of legal action as higher than the cost of compliance, said Brijen Desai, associate vice president at digital agency White Rivers Media.

Much of the problem stems from loosely drafted contracts that fail to clearly define usage timelines, platform scope, inventory liquidation, and post-campaign takedown obligations. In the absence of explicit inventory clauses and enforceable removal deadlines, brands are left with operational grey areas that can be conveniently exploited, Desai added.

Continued use of celebrity images after contract expiry is more common than most brands would like to admit, said Prof. Supriya Chouthoy, associate professor of marketing at BITS Law School. While some instances may result from weak compliance systems, decentralised retail networks, or third-party distributors, deliberate overuse cannot be ruled out, she noted.

Amit Dhawan, co-founder of Crack’d and Vibetheory, said the issue reflects a broader structural gap: contracts may end, but content rarely does. In a fragmented ecosystem, a celebrity’s image often remains embedded across packaging, dealer collateral, marketplace listings, and digital assets long after campaigns conclude.

“Images may be repurposed beyond their intended scope. This can include material licensed for a limited campaign used for broader purposes or beyond the agreed geography for commercial gains. Some other uses may include unauthorised merchandising, repacking of one form of media into another, thereby obscuring advertising boundaries,” said Simrean Bajwa, IP lawyer and associate (research and international partnerships), BITS Law School.

AI grey zones

Today, unauthorized use goes well beyond post-contract continuation.

Sonam Chandwani, managing partner, KS Legal & Associates, said the more problematic forms include digital manipulation, reuse across geographies or platforms not contractually permitted, and use in association with products or campaigns the celebrity never endorsed. With the rise of AI-generated likenesses and social media amplification, misuse has become both more subtle and more pervasive, Chandwani said.

“With generative AI tools, it is now possible to create hyper realistic videos or voiceovers of celebrities promoting products they have never engaged with. This form of misuse is qualitatively different because it scales infinitely, is difficult to trace, and can cross jurisdictions instantaneously. From a legal perspective, this raises overlapping issues of identity theft, violation of personality rights,” said Gaurav Sahay, founding partner, Arthashastra Legal.

AI cloning makes it increasingly difficult to distinguish fake from authentic, said Germaine Pereira, partner at Solomon & Co. Indian courts have in recent times increasingly recognised and safeguarded the personality rights of celebrities by granting broad injunctions restraining unauthorised use of their image, voice, videos, likeness, and other identifying attributes, Pereira noted.

Proof and prevention

Many experts argue the solution lies less in litigation and more in prevention.

Raj Mishra, managing director and CEO, Chtrbox, an influencer and digital marketing company, said celebrities and their management teams must build airtight contractual guardrails: explicit asset destruction or return clauses, mandatory audit rights, post-campaign certification of creative removal, and clearly defined remedies for breach.

Equally important is systematic evidence archiving from day one—timestamped records of live campaign materials, screenshots, and purchase receipts of branded products—because if disputes reach court, the burden of proof rests squarely with the celebrity, Mishra added.

In Bhatia’s case, the court found her evidence, including product wrappers, a purchase document, and certain internet listings, unreliable and insufficient to prove continued use after contract expiry. The takeaway is not necessarily that the claim lacked merit, but that the evidentiary framework around celebrity endorsements in India needs to be far more rigorous from the outset.

“The takeaway is simple. For brands, it’s not enough to end a contract—you have to actively clean up everything that follows. And for celebrities, it’s not just about spotting misuse anymore. It’s about having solid, traceable proof that can stand up when it really matters,” said Yorick Pinto, senior creative director at digital marketing agency BC Web Wise.