The First Amendment of the U$.$S$.$ Constitution states, $$Congress shall make no law... prohibiting the free exercise thereof; or abridging the freedom of speech....$$ Note that these rights provide protection from governmental bodies only, not private employers. Other laws protect the rights of employees of private employers.

Commercial Speech

The main form of business speech falling under the First Amendment is commercial speech, which is speech related to business communications and transactions. Commercial speech includes most advertisements and marketing. Courts have interpreted the First Amendment to offer protections to commercial speech from governmental action, but such speech is not protected to the extent noncommercial speech is protected. This allows for reasonable regulation based on the facts of the case.

Commercial speech related to illegal activity or that is misleading to customers can be prohibited by the states. Violent, defamatory, threatening, and obscene speech is also not protected.

Otherwise, restrictions on commercial speech will be allowed if the regulation passes a three$-$part test:

Does the government have a substantial interest in regulating the particular commercial speech?

Does the governmental restriction directly achieve its interest?

Does the regulation go no further than necessary to accomplish the governmental interest? Is there another way to achieve that interest?

For example, tobacco and liquor advertising is regulated in delivery and in content. Alcohol can be advertised on television by abiding by restrictions; tobacco advertising on television is prohibited. Courts have found that governments have a substantial interest in regulating the advertising of these products.

Suppose the local government of a charming tourist area bars the posting of billboards within the $$Old Town$$ district because the authorities believe billboards diminish the ambiance of the historic buildings and area. An advertising company challenges the regulation with a lawsuit. A court could find, based on the facts and circumstances of that case, that $(1)$ the local government has a substantial interest in limiting billboards, $(2)$ the billboard restriction directly achieves that interest, and $(3)$ the regulation does not go further than needed to accomplish that interest.

Corporate Political Speech

Corporate political speech is also protected by the First Amendment. Businesses have the same protections individuals have regarding political contributions and expenditures.