The FTC’s Proposed Rule Banning Deceptive Reviews and Testimonials
Earlier this week we met up in lower Manhattan with friends, colleagues and many news faces at the 2024 National Advertising Division (“NAD”) conference. As always, it was great to see and hear from experienced...more
In an era in which fake reviews run rampant and artificial intelligence (AI) can craft countless deceivingly realistic product reviews with minimal effort, the Federal Trade Commission (FTC) has taken a bold step forward for...more
On August 14, 2024, the Federal Trade Commission (FTC) announced a final rule banning fake reviews and testimonials. The rule follows a notice and comment process that began in November 2022, and covers a wide range of...more
Welcome to Wiley’s update on recent developments and what’s next in consumer protection at the Consumer Financial Protection Bureau (CFPB) and Federal Trade Commission (FTC). In this newsletter, we analyze recent regulatory...more
The Federal Trade Commission (FTC) issued a new Final Rule (the “Rule”) on Wednesday, August 14, 2024, targeting unfair and deceptive acts or practices specifically related to consumer reviews and testimonials, allowing the...more
On August 14, 2024, the Federal Trade Commission announced a Final Rule combatting bogus consumer reviews and testimonials by prohibiting their sale or purchase. The Rule allows FTC lawyers to strengthen enforcement, seek...more
The FTC reached a settlement with Career Step, LLC to resolve allegations that the company violated the FTC Act, the Gramm-Leach-Bliley Act, the Telemarketing and Consumer Fraud and Abuse Prevention Act, and the Telemarketing...more
The Federal Trade Commission’s (FTC) comment period for a rulemaking to promulgate a trade regulation titled “Rule on the Use of Consumer Reviews and Testimonials” concluded on September 29. This proposed regulation is part...more
Room Rental Site Sued Over Chimerical Reviews and Listings - FTC keeps promise to ramp up negative attention on false positives - Ghosted - Remember the first time you hunted for your own apartment? The anguish of...more
On February 16, 2023, the Federal Trade Commission (FTC) announced an enforcement action against The Bountiful Company (Bountiful) for a practice the FTC dubbed “review hijacking.” Bountiful, a vitamin and supplement company,...more
Regulatory Announcements- FTC Holds September Open Commission Meeting and Votes to Approve Government and Business Impersonation Fraud NPRM, Gig Work Policy Statement, and Dark Patterns Report. On September 15, the FTC held...more
The FTC and six states allege violations of the FTC Act and various state statutes, prohibiting deceptive trade practices (state UDAP statutes) at a cost of over $27 million to consumers....more
Last week the Federal Trade Commission and six states sued rental listing platform Roomster, Corp. along with its owners for allegedly charging consumers for access to phony listings bolstered by fake reviews it had...more
On July 26, 2022, the Request for Comment approved by the Federal Trade Commission (FTC or Commission) in May seeking public input on a number of proposed changes to the FTC’s Guides Concerning the Use of Endorsements and...more
The FTC is seeking public comment on proposed changes to its Endorsement Guides. These changes aim to strengthen the guidelines against advertisers posting falsely positive reviews or by manipulating reviews by suppressing...more
CEP Magazine – May 2022 - In January, the U.S. Federal Trade Commission (FTC) published two new guides on marketing issues associated with the use of customer reviews. Put this risk area into the ever-growing bucket of...more
In its first case challenging a company’s failure to post negative reviews on its website as a deceptive practice, the Federal Trade Commission (FTC) announced a proposed settlement with fast-fashion retailer Fashion Nova,...more
In January, the Federal Trade Commission (FTC) issued new guidance for retailers that use review platforms and comparison websites to boost their online reputation as well as guidance for websites that feature customer...more
Earlier this month, the Federal Trade Commission (FTC) announced that it is now using its Penalty Offense Authority to remind companies not to use fake online reviews or other deceptive endorsements and that stiff penalties...more
As discussed in our earlier post, on October 13, 2021, the FTC issued “Notice of Penalty Offenses” letters to more than 700 companies, placing them on notice of civil penalties up to $43,792 per violation if they use...more
Sandra Bullock and Ellen DeGeneres have teamed up to combat fake endorsements in a new California state court action. The two A-list celebrities, whose names and images have been repeatedly used in fake endorsements for...more
Remember when you were a teenager and rules seemed excessive and tiresome to follow? And remember getting grounded because you missed curfew ("nothing good happens after midnight") or skipped school ("Bueller? … Bueller?…")?...more
Until recently, Texas skincare company Sunday Riley was one of the shining stars of the lucrative cosmetics market – its products were featured at high-end retailers such as Sephora and Nordstrom, high-profile influencers and...more
Sunday Riley launched her skincare firm Sunday Riley Modern Skincare, LLC (“SRMS”) in 2009 and its skincare products, including Good Genes, Power Couple, U.F.O., C.E.O., Luna and Tidal, have enjoyed tremendous success, having...more