Ad-ID provides a unique prefix and code within the Ad-ID database. Ad-ID is the recognized authority for advertising coding just like the US government is the recognized authority for the social security number.
The most common situation we have found is that a coding error is found during distribution and the person who made up the code, as opposed to registering it with Ad-ID, will have to provide a new code for their commercial.
If someone is representing the code as an Ad-ID code and an error occurs and the code is not registered to the advertiser, Ad-ID can take action such as sending a cease and desist letter. Also, if the prefix is registered to another advertiser, that advertiser also has the legal right to take action such as a cease and desist letter or possible further action if it results in a loss to their company, such as a spot running incorrectly. From our experience, situations have been handled prior to it getting to that point.