How to check radio advertising commercial contracts before signing

What to take away

A radio advertising commercial contract is the signed agreement covering what a station, sales house or audio platform delivers, and what the advertiser pays, supplies and warrants.

Confirm which entity signs with you, which Ofcom licensee owns the output, and whether a sales house acts as agent or principal. The licensee's name should match the station's entry on Ofcom's published licence register.
Pin down airtime, daypart, station and campaign dates, and tie the dayparts to the RAJAR dayparts the station reports against. Then set pre-emption and make-good rules in numbers, not adjectives.
Match every compliance warranty to the codes that govern radio ads — the BCAP Code applied by the Advertising Standards Authority and the Ofcom Broadcasting Code — and to copy clearance by Radiocentre's clearance service.
Treat personal data and call recordings as contract terms under UK GDPR, the Data Protection Act 2018 and PECR, alongside the ICO's guidance on direct marketing using live calls.
Name the promoter and the rules that apply to any prize promotion, including the CAP Code for non-broadcast promotions. Get variation, cancellation and exclusivity promises in writing, and take advice from a qualified adviser on your own facts.

1. Identify the contracting parties and their capacity

Start with the legal names on the signature block. A station brand may be a trading name, and a sales house may sign as agent for the licensee, not as principal. Ask who carries liability if the spot does not run.

Who is liable for the spot?

Who signs: station, sales house or licensee?

Yes

sales house as agent: licensee carries liability

sales house as principal: sales house carries liability

Companies House filings show directors and registered addresses, so check the entity exists. The same name should appear on Ofcom's licence register as the holder of the station licence, which is the quickest way to confirm who is accountable for the broadcast. If the counterparty sits outside England, the governing law clause matters more, not less.

2. Fix the airtime, daypart and delivery terms

Radio airtime is sold as spots, packages or sponsorship credits, and value depends on when the spot runs. The contract should state station, daypart, spot length, campaign dates and the audience measure used. RAJAR is the standard audience measure for UK radio, so agree which RAJAR dayparts and survey periods the campaign is reported against.

Pre-emption rights let a station drop your spot for a higher bidder, so agree notice and make-good terms. Wording such as peak time or as available gives you little to enforce.

3. Map the regulatory duties onto the contract

Broadcast advertising in the UK rests on the Communications Act 2003, with the BCAP Code applied by the Advertising Standards Authority. The Ofcom Broadcasting Code covers commercial references and sponsorship credits in radio programming, and Radiocentre's clearance service, formerly the Radio Advertising Clearance Centre (RACC), clears radio copy before it is broadcast. The advertiser normally warrants the copy is accurate, substantiated and cleared for broadcast.

Put clearance and substantiation duties in the contract, and keep evidence for claims about price or performance. The ASA's advice for businesses explains how to check copy before it airs.

4. Agree the money, make-goods and cancellation

State the rate card price, agency commission, production charges, and whether VAT is included. Payment terms should say when invoices are raised and what happens if a spot is missed.

Make-goods, credits and refunds need a formula, not a promise. Cancellation windows should be symmetrical where possible, so you know the notice period and any break fee. An appendix table of spot, daypart, rate and total helps both sides reconcile.

5. Handle data, consent and call-based sales

For lead capture, call handling or telemarketing, the contract should allocate data protection roles. UK GDPR and the Data Protection Act 2018 set the controller and processor duties, and PECR governs consent and opt-outs for electronic marketing. The ICO's live-call guidance covers call-based ad sales, so consent wording, opt-out handling and retention belong in the schedule.

Check whether the station may reuse your data for its own marketing. Commercial references and sponsorship credits in programming are covered by the Ofcom Broadcasting Code, so make sure both the BCAP Code and the Broadcasting Code are reflected in the warranties before you sign.

6. Check sponsorship, promotions and prizes

Sponsorship credits, competitions and prize promotions carry extra rules on labelling and administration. Broadcast promotions follow the BCAP Code, while promotions run on a website, in print or on social media follow the CAP Code. The contract should name the promoter, describe the prize, set the closing date and say who handles complaints. Where a paid-entry promotion could amount to a lottery, the Gambling Commission regulates it in Great Britain, so agree the script approval route and keep an audit trail.

7. Use a pre-signature checklist

Parties, company numbers and signatories verified, and the Ofcom licensee checked on Ofcom's licence register.
Airtime, daypart, spot length, dates and the RAJAR audience measure in numbers.
Pre-emption, make-good and cancellation terms stated.
Copy clearance by Radiocentre's clearance service, BCAP Code and Ofcom Broadcasting Code duties, substantiation and complaint handling allocated.
Fees, commission, production and VAT treatment clear.
Data protection roles, UK GDPR, Data Protection Act 2018 and PECR duties, consent and retention covered.
Promoter, prize rules and CAP Code duties named for any promotion.
Governing law, jurisdiction and variation clauses read.

Common questions

Does a radio advertising contract have to be in writing?

Not always at law, but a written record is much easier to enforce. Put oral promises about dayparts, discounts or make-goods in the schedule.

Who is responsible if an ad breaches the advertising codes?

The advertiser usually warrants that the copy is compliant, while the broadcaster must not transmit misleading ads. The ASA applies the BCAP Code and Ofcom enforces the Broadcasting Code, so the contract should say who checks, who substantiates and who pays for a fix.

Do I need a solicitor to review a radio contract?

For routine spots, a careful read may be enough. For sponsorship, data sharing, large budgets or unusual liability, take advice from a qualified adviser.