The FTC’s Proposed Rule Banning Deceptive Reviews and Testimonials
In this post, the final part of our six-part series, we explore the nuances of the “teeth” of the FTC’s Final Rule on consumer reviews and testimonials—the money the FTC can recover for violations of the Final Rule....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
Consumers often research a product or service before they make a purchase. Now more than ever, consumers rely on the reviews and testimonials they see online. This creates a breeding ground for deception. Enter the Federal...more
The Federal Trade Commission and six state attorneys general on August 28 resolved an enforcement matter against apartment listing platform Roomster over fake reviews and listings. Brought under Section 5 of the FTC Act and...more
Last week, the Federal Trade Commission (FTC) and six states permanently banned Roomster Corp. and its owners, John Shriber and Roman Zaks, from purchasing or incentivizing consumer reviews as part of a settlement over...more
We’ve all at least once (and maybe only once) played the surprisingly revealing drinking game “Never Have I Ever”. You know, you go around the table with one person asking, “Never have I ever [fill in the blank]” with the...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
Does your company sell to consumers or businesses that can leave reviews or rate your products? Whether your customers can leave reviews on your website or another public-facing review platform, companies should be aware of...more
You are thinking about buying a new laptop, or you want to try a new restaurant that’s been open a few months, so what do you do first? You check the online reviews, of course. Most consumers rely heavily on online reviews to...more
Fake reviews continue to be a hot topic in consumer protection. In 2022, we reported that six states and the Federal Trade Commission filed a lawsuit against Roomster – a platform through which people can find rooms and...more
The FTC continues to issue Notices of Penalty Offenses concerning FTC Endorsement Guide violations to digital advertisers and marketers, both alone and in conjunction with the issuance of FTC Civil Investigative Demands. ...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 comment period on the FTC’s proposed rule regarding the use of endorsements and testimonials in advertising ended September 26, 2022. The Request for Comment approved by the Federal Trade Commission in May 2022 sought...more
2022 continues to be the Year of the Review for consumer protection law enforcers. We have seen several cases already this year, and the latest suit has the added bonus of the Federal Trade Commission (FTC) teaming up...more
On March 21, 2022, the Federal Trade Commission (FTC) announced a final administrative complaint and decision and order that finalizes a settlement with a California online fashion retailer to settle allegations that the...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
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
Social media is ever present in the daily lives of the majority of Americans. It has also become one of the main advertising vehicles for companies in recent years. These advertisements and, more specifically, marketing via...more
Who doesn't love an online review? My family rarely buys anything of consequence without checking the reviews first. Online reviews allow us to get the skinny on anything and everything. In fact, my husband even reads reviews...more
Seyfarth Synopsis: FTC publishes proposed consent order with cosmetic company that posted fake customer reviews but some FTC commissioners place doubt on its effectiveness because there is no financial penalty....more
On November 2, 2018, the New York Attorney General came crashing down on a number of moving services that paid for at least 60 fake positive online reviews posted under the heading “CHECK OUT OUR REVIEWS POSTED BY CUSTOMERS...more