What are the legal issues to consider for businesses or non-profits using social networking sites?

[blondie026]

I work for a non-profit organization that has, in spurts, started using social networking sites such as facebok and myspace to connect to current clients, as well as a marketing tool to gain interest. What are the legal issues to be considered with these? How can businesses and organizations stay safe legally while using these sites?

[gurnor g]

You can start a social networking site under your business or personal name. As long as you don't create any paid membership or don't even use an advertising company like google adsense for profit you don't have to worry about anything. If you start google adsense and you start generating some revenue than your company will have to file taxes for that.
I just started my site last month it is also under my business name.