Mahi Sall, Advisor, Fintech-Bank Partnerships, Payments and Financial Inclusivity
January 25th, 2023
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Decoding Emoji Interpretations Across Generations: Legal Implications and Regulatory Insights
Analysis | Aug 11, 2023
Image: Unsplash/Wu yi
In the digital age, the colorful world of emojis collides with legal landscapes, revealing stark generational divides and prompting regulators to decode their true intent.
In the evolving landscape of digital communication, Bloomberg Law sheds light on the intricate dance between emojis and the legal world, revealing how these seemingly innocuous symbols are now at the forefront of court decisions, regulatory measures, and potential misinterpretations across generations.
Here's a Rundown of Key Takeaways
- Emojis have become a significant subject in court decisions and regulatory initiatives.
- Canada - Courts have started interpreting emojis, such as a thumbs-up emoji being considered a signature agreement to a contract in Canada.
- U.S. - The Southern District of New York interpreted certain emojis in a social media post promoting non-fungible tokens, as indicating a financial return on investment.
- UK - The Financial Industry Regulatory Authority (FINRA) has noted that emojis in texts could be viewed as customer complaints. According to FINRA's guidelines, companies are are expected to “reasonably” supervise electronic communications using a “risk-based” approach.
- There are challenges in monitoring emojis, especially given the lack of technology to review the vast number of emojis in use.
- The interpretation of emojis can vary based on the age of the sender and recipient. For instance, while older generations might see a thumbs-up emoji as a positive sign, Gen Z might interpret it as an insult.
- The context in which an emoji is used is crucial. For example, a single emoji can have multiple meanings depending on the situation.
- Broker-dealers face challenges in reviewing vast amounts of electronic communications containing emojis.
The Generational Gap in Emoji Interpretation
Emojis, initially introduced as a fun way to express emotions in digital communication, have seen varied interpretations across generations.
See: New York Judge Rules Emojis Count as Financial Advice in Dapper Labs Court Case
For instance, the older generation, who witnessed the dawn of digital communication, often use emojis in their most literal sense. In contrast, younger generations, particularly Gen Z, have ascribed new, sometimes radically different meanings to the same symbols.
- Thumbs-Up Emoji (👍):
- Older Generations: A sign of affirmation, agreement, or a job well done.
- Gen Z: Often used sarcastically, implying indifference or even a dismissive "whatever."
- Clapping Hands Emoji (👏):
- Older Generations: Applause or congratulations.
- Gen Z: Used between words for emphasis, as in "Well 👏 Done 👏."
- Crying Laughing Emoji (😂):
- Older Generations: Finding something hilarious.
- Gen Z: Some members of this generation consider it outdated, preferring the skull (💀) to imply "I'm dead (from laughter)."
Implications in Contracts and Court
- The varied interpretations of emojis can lead to significant misunderstandings, especially in formal settings like contracts.
- A thumbs-up emoji, seen as a casual affirmation by a younger individual, might be considered a formal agreement by an older counterpart.
- Such ambiguities have already made their way to courtrooms. For instance, a Canadian court ruled that a thumbs-up emoji constituted a signature agreement to a contract, highlighting the potential legal weight of these symbols.
See: CSA and IIROC Issue Joint Guidance (Staff Notice 21-330) for Crypto-Trading Platforms Related to Advertising and Social Media
Towards Standardizing Emoji Communications?
- Given the complexities, is there a push towards standardizing emoji interpretations in formal communications?
- While the idea might seem excessive, the increasing instances of emojis in legal and business documents make the proposition worth considering. However, the dynamic and culturally varied nature of emoji interpretations makes standardization challenging.
Recommendations for Emoji Use in Business
- While emojis can make communication concise, it's essential to prioritize clarity, especially in formal business communications.
- If there's potential for an emoji to be misinterpreted, it's best to avoid ambiguity or provide clear context.
- Be aware of the age group and cultural background of your audience - know your audience. An emoji that's clear to one demographic might be confusing to another.
See: New SEC task force will scrutinize ESG and climate disclosures and marketing
- Contracts, legal documents, and other formal communications should minimize emoji use to avoid potential disputes.
- Especially in multinational corporations, it's beneficial to get feedback and confirmation on communications to ensure emojis and other elements are universally understood.
Conclusion
Emojis, while a vibrant and expressive form of communication, come with their set of challenges, especially across generational lines. As they find their way into more formal realms, it's imperative for businesses and legal professionals to navigate the nuances carefully. While standardizing emoji communications might seem a step too far now, it's a conversation that might become essential in the not-so-distant future.
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