Beware the Fake Review: New Rule in Action

Washington, USATue Oct 22 2024
You know those online reviews you trust so much? Well, the Federal Trade Commission (FTC) has just made it illegal to fake them. Starting this week, businesses and individuals who create, buy, or sell fake reviews will face serious consequences. The aim? To keep the market fair and honest. Fake reviews waste time, money, and divert business from true competitors. What’s banned? Reviews from non-existent people or AI, reviews from those without experience with the product or service, and misrepresentations of experiences. Even businesses sending fake reviews or using threats cannot get away with it anymore. The FTC is ready to penalize those who break the rules. They want you, the consumer, to report if you spot any fakes at their website. The goal is simple: a marketplace where every review comes from real people with real experiences.
https://localnews.ai/article/beware-the-fake-review-new-rule-in-action-f58cd113

questions

    What impact will this new rule have on consumer trust and businesses' marketing strategies?
    What criteria will the FTC use to determine if a review is fake?
    What are the penalties for businesses found to be buying or selling fake reviews?

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