We report on the findings of an exploratory set of experiments designed to test the effect of negative firm actions online. Findings point to firms suffering a loss of consumer attitude toward the brand when legal action is threatened against the creator of a consumer generator advertisement. Similarly, consumers also lowered their attitude toward a brand when confronted with information suggesting that a brand was linked to secretly posting “consumer” advertisements online. Implications for academics and brand managers are discussed. Copyright © 2012 John Wiley & Sons, Ltd.