
KEY POINTS
- The rule bans marketers from using 'certain insiders' to come up with testimonials without clarifying their relationships
- Fake celebrity testimonials are also prohibited, as well as the 'suppression' of negative customer reviews
- FTC Chair Lina Khan said fake reviews are a waste of people's time
The Federal Trade Commission on Wednesday announced that it has finalized a rule that bans marketers from using fake reviews and other practices that mislead consumers about products and services offered.