The FTC has proposed new rules to tackle fake online reviews, which make up an estimated 30 to 40 percent of reviews. The rules, currently in the proposal stage and not yet law, aim to impose fines of up to $50,000 for each fake review, per consumer exposure. The regulations target fabricated experiences, non-existent reviewers, and undisclosed insider reviews. If approved, these rules could have a significant impact on combating deceptive online reviews and restoring trust in consumer feedback.
For a more detailed analysis of the FTC’s proposed rules, I recommend reading the Washington Post article “Those 10,000 5-star reviews are fake. Now they’ll also be illegal.”