The Federal Trade Commission’s (FTC) crackdown on fabricated reviews and fake consumer and celebrity testimonials has produced new official federal regulations to prevent the use of these practices on websites and e-commerce hubs. The FTC approved the new rules against the buying and selling of fake reviews and product testimonials with a 5-0 vote on Wednesday. The rules will become effective in 60 days.
The new FTC rules address the practice of buying and selling fake consumer reviews, including the use of AI-generated consumer and celebrity testimonials for products or services. They also prevent “providing compensation or other incentives conditioned on the writing of consumer reviews expressing a particular sentiment, either positive or negative” and prohibit “a business from misrepresenting that a website or entity it controls provides independent reviews or opinions” about products or services, according to a statement released by the FTC.
The formal ban also comes with sti