Current:Home > InvestThe FTC is targeting fake customer reviews in a bid to help real-world shoppers -Prime Capital Blueprint
The FTC is targeting fake customer reviews in a bid to help real-world shoppers
Chainkeen View
Date:2025-04-07 18:02:46
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! (745)
Related
- 'No Good Deed': Who's the killer in the Netflix comedy? And will there be a Season 2?
- Police arrest 2 in killing of 'Boopac Shakur,' vigilante who lured alleged sex predators
- Beyoncé, like Taylor, is heading to movie theaters with a new film
- Who is Jenny in 'Forrest Gump'? What to know about the cast of the cinema classic.
- Israel lets Palestinians go back to northern Gaza for first time in over a year as cease
- Traveling over the holidays? Now is the best time to book your flight.
- Nobel Prize goes to scientists who made mRNA COVID vaccines possible
- Chicago woman, 104, skydives from plane, aiming for record as the world’s oldest skydiver
- Juan Soto praise of Mets' future a tough sight for Yankees, but World Series goal remains
- The Supreme Court opens its new term with a case about prison terms for drug dealers
Ranking
- Intellectuals vs. The Internet
- Patrick Mahomes overcomes uncharacteristic night to propel Chiefs to close win vs. Jets
- OCD affects millions of Americans. What causes it?
- You Don't Wanna Wait to Revisit Jodie Turner-Smith and Joshua Jackson's Private Marriage
- Why members of two of EPA's influential science advisory committees were let go
- Disgruntled WR Chase Claypool won't return to Bears this week
- As the 'water tower of Asia' dries out, villagers learn to recharge their springs
- Clergy abuse survivors propose new ‘zero tolerance’ law following outcry over Vatican appointment
Recommendation
B.A. Parker is learning the banjo
Spain’s women’s team players Putellas, Rodríguez and Paredes appear before a judge in Rubiales probe
Adam Copeland, aka Edge, makes AEW debut in massive signing, addresses WWE departure
Disgruntled WR Chase Claypool won't return to Bears this week
As Trump Enters Office, a Ripe Oil and Gas Target Appears: An Alabama National Forest
Florida officers under investigation after viral traffic stop video showed bloodied Black man
Massachusetts exonerees press to lift $1M cap on compensation for the wrongfully convicted
New Jersey Sen. Bob Menendez expected back in Manhattan court for bribery case