FTC to Hold Hearing on Proposed Rule Banning Fake Reviews and Testimonials

The Federal Trade Commission (FTC) will hold an informal hearing on its proposed rule banning fake reviews and testimonials on February 13 at 10 am ET. Three interested parties including the Interactive Advertising Bureau, Fake Review Watch, and a group of academic researchers will address issues raised during the rulemaking process. The proposed rule, published in the Federal Register on July 31, 2023, advises marketers to stop using illicit review and endorsement practices, such as generating fake reviews, creating false celebrity testimonials, suppressing honest negative reviews, and paying for positive reviews, which the FTC believes deceives consumers. The proposed rule received over 100 comments. Given the rule’s focus on prohibitions on deceptive activities that take place on third-party platforms, the Alliance did not submit comments; however, we continue to monitor the proposal.

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