Current:Home > NewsThe FTC is targeting fake customer reviews in a bid to help real-world shoppers -Wealth Legacy Solutions
The FTC is targeting fake customer reviews in a bid to help real-world shoppers
Fastexy View
Date:2025-03-11 10:45:22
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! (115)
Related
- Appeals court scraps Nasdaq boardroom diversity rules in latest DEI setback
- Trump asks to have gag order lifted in New York criminal trial
- Champion Boxer Andrew Tham Dead at 28 In Motorcycle Crash
- Dollar Tree may shed Family Dollar through sale or spinoff
- This was the average Social Security benefit in 2004, and here's what it is now
- Hubble Space Telescope faces setback, but should keep working for years, NASA says
- Ranking Major League Baseball's eight most beautiful stadiums
- Is Mint Green the Next Butter Yellow? Make Way for Summer’s Hottest New Hue We’re Obsessed With
- Skins Game to make return to Thanksgiving week with a modern look
- Jennifer Lopez Shares Message on Negativity After Canceling Tour
Ranking
- Meet first time Grammy nominee Charley Crockett
- U.S. flies long-range B-1B bomber over Korean Peninsula for first precision bombing drill in 7 years
- Environmental groups take first step to sue oil refinery for pollution violations
- 'America's Got Talent' recap: Simon Cowell breaks Golden Buzzer rule for 'epic' audition
- Dick Vitale announces he is cancer free: 'Santa Claus came early'
- Kevin Costner opens up about 'promise' he made to Whitney Houston on 'The Bodyguard'
- New York governor delays plan to fund transit and fight traffic with big tolls on Manhattan drivers
- Virginia governor says state will abandon California emissions standards by the end of the year
Recommendation
Person accused of accosting Rep. Nancy Mace at Capitol pleads not guilty to assault charge
Florida revises school library book removal training after public outcry
Inside NBC’s Olympics bet on pop culture in Paris, with help from Snoop Dogg and Cardi B
Crewed Boeing Starliner finally launches from Florida: 'Let's put some fire in this rocket'
Macy's says employee who allegedly hid $150 million in expenses had no major 'impact'
LA28 organizers choose former US military leader Reynold Hoover as CEO
Whitney Port Shares Her Son's Kindergarten Graduation Included a Nod to The Hills
New York governor delays plan to fund transit and fight traffic with big tolls on Manhattan drivers