With its ominous-sounding “Final Rule,” the FTC seeks to prohibit false reviews, false testimonials, and all sorts of dubious practices that deceive consumers.

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With its ominous-sounding “Final Rule,” the FTC seeks to prohibit false reviews, false testimonials, and all sorts of dubious practices that deceive consumers.

When it comes to deciding on your next purchase, PC hardware or otherwise, you probably rely quite a bit on reviews to make your decision. But it wouldn't come as much of a surprise to learn that some reviews are less reliable than others, watered down by obvious bot accounts, paid reviews, and false testimonials.

And now the FTC has issued what it calls a “Final Rule” aimed at combating exactly that (via PC World). The Final Rule has been in development since October 2022 and contains a rather sweeping prohibition against the biggest problem consumers face when searching site reviews to find trustworthy content.

In addition to prohibiting fake or false consumer reviews, consumer testimonials, and celebrity testimonials, the final rule prohibits companies from “offering compensation or other incentives in exchange for writing consumer reviews that express certain sentiments, positive or negative.” It also prohibits reviews or testimonials written by company insiders that do not clearly disclose the reviewer's relationship to the company.

It also prohibits falsely representing a company-controlled website or organization as an independent reviewer when offering an opinion on a company-owned product or service.

“Fake social media metrics” are also covered, essentially prohibiting the buying and selling of social media followers or views generated by bots or hijacked accounts.

Finally, the rule prohibits companies from using “baseless legal threats, physical intimidation, threats, or certain false public accusations to prevent or remove negative consumer reviews.”

Regarding penalties for violating the rules, the FTC states that this new set of prohibitions will “enhance deterrence and strengthen the FTC's enforcement actions,” citing previous Supreme Court decisions that up to this point have hampered consumers' ability to seek monetary relief. [FTC Commissioner Lina M. Khan said that “fake reviews not only waste people's time and money, they pollute the marketplace and divert business away from honest competitors.”

“By strengthening the FTC's toolkit to combat deceptive advertising, the final rule will protect Americans from being deceived, alert businesses that illegally use the system, and promote fair, honest, and competitive markets.

Given the flood of misleading review content on the Internet, this strengthened FTC stance should have some effect in deterring U.S. companies from acting dishonestly in promoting their products.

As someone who writes a lot of hardware reviews, I can't help but cheer for the principles of fairness, adequate disclosure, and consumer rights to receive enhanced protection, at least as far as the FTC is concerned.

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