The Federal Trade Commission (FTC) has proposed a new rule to ban various forms of fake online reviews, including fabricated ones and those that are manipulated or repurposed. The rule, which aims to address the unreliable online review ecosystem, follows previous actions taken by the FTC against misleading claims and undisclosed influencer marketing. Despite objections from advertising trade organizations, consumer advocacy groups and major online companies support the rule. The proposed rule prohibits selling or soliciting fake reviews, review hijacking, buying positive or negative reviews, undisclosed reviews from company leadership, operating phony independent review sites, suppressing reviews through legal threats, and selling fake engagement. The rule is open for public comment before finalization.
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