• On August 14, 2024, the Federal Trade Commission (FTC or Commission) announced its Final Trade Regulation Rule on the Use of Consumer Reviews and Testimonials (Final Rule) to rein in what it believes is the widespread practice of using fake reviews and testimonials to boost sales of products or services.
  • The long-awaited Final Rule was developed under the provisions of the Magnuson-Moss Warranty Act. Thus, it is the culmination of a two-year process that started in November 2022 with the publication of an Advance Notice of Proposed Rulemaking (ANPR), followed by a Notice of Proposed Rulemaking (NPRM) in July 2023, and a February 2024 informal public hearing.
  • The Final Rule reflects some changes from the proposed rule set out in the NPRM, including clarifications and limitations that were based on feedback received during the public comment period. For example, a previously proposed section addressing reuse of consumer reviews written for one product, so that the reviews appear written for a “substantially different product,” was omitted from the Final Rule following multiple comments, including a comment that raised a disputed issue of material fact.
  • The Commission decided not to finalize this provision at this time and reserved it for potential future rulemaking.
  • To read more, including key provisions of the Final Rule, click here.