Current:Home > reviewsThe FTC is targeting fake customer reviews in a bid to help real-world shoppers -Clarity Finance Guides
The FTC is targeting fake customer reviews in a bid to help real-world shoppers
View
Date:2025-04-16 01:59:11
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! (663)
Related
- Woman dies after Singapore family of 3 gets into accident in Taiwan
- Tropical storm conditions expected for parts of the Carolinas as disturbance approaches coast
- An American pastor detained in China for nearly 20 years has been released
- Keep Up with Good American’s Friends & Family Sale—Save 30% off Khloé Kardashian’s Jeans, Tops & More
- Megan Fox's ex Brian Austin Green tells Machine Gun Kelly to 'grow up'
- 2 charged in case of illegal exports for Russian nuclear energy
- A'ja Wilson makes more WNBA history as first player to score 1,000 points in a season
- Get $336 Worth of Tarte Makeup for $55 & More Deals on Top-Sellers Like Tarte Shape Tape & Amazonian Clay
- Costco membership growth 'robust,' even amid fee increase: What to know about earnings release
- Outside agency to investigate police recruit’s death after boxing training
Ranking
- Grammy nominee Teddy Swims on love, growth and embracing change
- Here's What Artem Chigvintsev Is Seeking in Nikki Garcia Divorce
- Michaela Mabinty DePrince's Mom Elaine DePrince Died 24 Hours After the Ballerina
- Suspicious packages sent to election officials in at least 5 states
- Intel's stock did something it hasn't done since 2022
- Hillary Clinton takes stock of life’s wins and losses in a memoir inspired by a Joni Mitchell lyric
- Emmys: What you didn't see on TV, including Jennifer Aniston's ticket troubles
- Jane’s Addiction cancels its tour after onstage concert fracas
Recommendation
A White House order claims to end 'censorship.' What does that mean?
32 things we learned in NFL Week 2: Saints among biggest early-season surprises
Lutherans in Walz’s Minnesota put potlucks before politics during divisive election season
Taylor Swift Attends Patrick Mahomes’ Birthday Bash After Chiefs Win
Working Well: When holidays present rude customers, taking breaks and the high road preserve peace
Who plays on Monday Night Football? Breaking down Week 2 matchup
Oregon Republicans ask governor to protect voter rolls after DMV registered noncitizens
Florida hospitals ask immigrants about their legal status. Texas will try it next