Current:Home > MyThe FTC is targeting fake customer reviews in a bid to help real-world shoppers -FinanceCore
The FTC is targeting fake customer reviews in a bid to help real-world shoppers
View
Date:2025-04-17 07:53:46
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! (22341)
Related
- Scoot flight from Singapore to Wuhan turns back after 'technical issue' detected
- House committee approves bill that would prevent college athletes from being employees
- Man dies in apparent hot tub electrocution at Mexico beach resort in Puerto Peñasco
- Southern Poverty Law Center lays off employees amid restructuring
- Skins Game to make return to Thanksgiving week with a modern look
- White House preps ‘dreamers’ celebration while President Biden eyes new benefits for immigrants
- Former Illinois men's basketball star Terrence Shannon Jr. found not guilty in rape trial
- Swimmer Lia Thomas' case against World Aquatics transgender athlete rules dismissed
- Can Bill Belichick turn North Carolina into a winner? At 72, he's chasing one last high
- Progress announced in talks to resume stalled $3 billion coastal restoration project
Ranking
- The city of Chicago is ordered to pay nearly $80M for a police chase that killed a 10
- 2 dead in single-engine plane crash in Northern California
- How to watch the 2024 Tony Awards: A full rundown on nominees, host and our predictions
- Mama June admits she took daughter Alana's money from Honey Boo Boo fame
- 'Kraven the Hunter' spoilers! Let's dig into that twisty ending, supervillain reveal
- Tony Bennett’s daughters sue their brother over his handling of the late singer’s assets
- Zoo in Tennessee blames squeezable food pouch for beloved antelope’s death
- Garcia’s game-ending hit off Holmes gives Royals 4-3 win over Yankees
Recommendation
Federal court filings allege official committed perjury in lawsuit tied to Louisiana grain terminal
Poland reintroduces restrictions on accessing areas along Belarus border due to migration pressure
Nadine Menendez's trial postponed again as she recovers from breast cancer surgery
Jeannie Mai and Jeezy Finalize Divorce After Abuse Allegations
Off the Grid: Sally breaks down USA TODAY's daily crossword puzzle, Hi Hi!
California Senate approves ban on schools notifying parents of their child’s pronoun change
How Paul Tremblay mined a lifelong love of scary films to craft new novel 'Horror Movie'
Tony Bennett’s daughters sue their brother over his handling of the late singer’s assets