Current:Home > ContactThe FTC is targeting fake customer reviews in a bid to help real-world shoppers -Excel Wealth Summit
The FTC is targeting fake customer reviews in a bid to help real-world shoppers
View
Date:2025-04-24 23:12:12
Those of us who shop online may scan customer reviews to get a better sense of products we can't judge for ourselves at a brick-and-mortar store. We may check out online testimonials before booking a haircut or visiting a new restaurant.
But what happens if some of those reviews can't be trusted?
The Federal Trade Commission announced Friday that it's proposing new measures to crack down on fake reviews and other practices used to mislead consumers trying to educate themselves about a potential purchase.
The commission published a proposed rule that would prohibit companies from writing or selling fake reviews, buying positive reviews, illegally suppressing negative reviews and more.
"Our proposed rule on fake reviews shows that we're using all available means to attack deceptive advertising in the digital age," Samuel Levine, director of the FTC's Bureau of Consumer Protection, said in a statement.
"The rule would trigger civil penalties for violators and should help level the playing field for honest companies," Levine added.
Research shows people overwhelmingly consult online reviews before opening their wallet, but humans are also bad at telling which consumer reviews hold water and which are full of hot air.
That's potentially worrisome given that nearly one in every three reviews is fake, according to one estimate.
In arguing for the proposal, the FTC cited enforcement actions it had taken against companies that manipulated reviews of their products.
Last year, for example, the commission forced the online retailer Fashion Nova, LLC to pay $4.2 million to settle allegations that it blocked negative reviews from being posted to its website — the first FTC action involving a company's effort to hide negative reviews. For its part, Fashion Nova said in a statement to the New York Times that the FTC's allegations were "inaccurate" and that it only settled the charges to avoid "the distraction and legal fees."
The emergence of generative AI could also supercharge the proliferation of fake reviews across the internet, the FTC said.
Comments on the proposed rule have to be received within 60 days of its publication in the Federal Register, after which the FTC will decide whether to issue a final rule.
veryGood! (417)
Related
- Taylor Swift makes surprise visit to Kansas City children’s hospital
- Lady Gaga introduces Michael Polansky as her 'fiancé' during Paris Olympics
- Horoscopes Today, July 29, 2024
- All the best Comic-Con highlights, from Robert Downey Jr.'s Marvel return to 'The Boys'
- Grammy nominee Teddy Swims on love, growth and embracing change
- The Hills’ Whitney Port Shares Insight Into New Round of Fertility Journey
- Florida police union leader blasts prosecutors over charges against officers in deadly 2019 shootout
- US Rep. Sheila Jackson Lee of Texas to lie in state at Houston city hall
- Arkansas State Police probe death of woman found after officer
- Lana Condor mourns loss of mom: 'I miss you with my whole soul'
Ranking
- Dick Vitale announces he is cancer free: 'Santa Claus came early'
- American swimmer Nic Fink wins silver in men's 100 breaststroke at Paris Olympics
- You Need to Run to Kate Spade Outlet ASAP: Jewelry from $12, Wristlets from $29 & More Up to 79% Off
- Feel like you have huge pores? Here's what experts say you can do about it.
- Selena Gomez engaged to Benny Blanco after 1 year together: 'Forever begins now'
- All the best Comic-Con highlights, from Robert Downey Jr.'s Marvel return to 'The Boys'
- Reports: 1 man dead from canyon fall at Starved Rock State Park in Illinois
- 2 children dead and 11 people injured in stabbing rampage at a dance class in England, police say
Recommendation
Justice Department, Louisville reach deal after probe prompted by Breonna Taylor killing
With DUI-related ejection from Army, deputy who killed Massey should have raised flags, experts say
American swimmer Nic Fink wins silver in men's 100 breaststroke at Paris Olympics
Chase Budinger, Miles Evans inspired by US support group in beach volleyball win
Justice Department, Louisville reach deal after probe prompted by Breonna Taylor killing
National Chicken Wing Day deals: Get free wings at Wingstop, Buffalo Wild Wings, more
US Rep. Sheila Jackson Lee of Texas to lie in state at Houston city hall
At Paris Olympics, Team USA women are again leading medal charge