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FTC fines fashion retailers to curb negative reviews | WGN Radio 720

New York (AP) — The Federal Trade Commission has fined fashion retailer Fashion Nova $ 4.2 million and said it has blocked negative product reviews from being posted on websites for years. I am.

A California-based retailer misrepresented a product review on its website in a complaint on Tuesday that it reflected the views of all buyers who submitted the review, but in reality four out of five stars. He said he suppressed reviews with a rating of less than 3 stars.

From late 2015 to November 2019, Fashion Nova reportedly had a low star count and did not approve or post hundreds of thousands of negative reviews.

According to FTC, this is the first case of a government agency, including a company’s efforts to hide negative reviews from customers.

“Deceptive review practices deceive consumers, undermine honest business and pollute online commerce,” FTC’s director of consumer protection, Samuel Levine, said in a statement. Said. “Fashion Nova is held responsible for these practices, so other companies need to be careful.”

FTC also said it has sent letters to 10 companies that offer “review management services.” This action states that avoiding the collection or publication of negative reviews serves as a warning that it violates the FTC Act.

Fashion Nova called the agency’s allegations against the company “inaccurate and deceptive.” He hasn’t curtailed website reviews, and when he noticed a website review issue in 2019, he immediately and voluntarily addressed it.

“Fashion Nova is confident that it will have won the case in court and has only agreed to settle the case to avoid the distractions and legal fees incurred in the case,” the company emailed the Associated Press. Said in the statement sent.

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Follow Anne D’Innocenzio: http://twitter.com/ADInnocenzio



FTC fines fashion retailers to curb negative reviews | WGN Radio 720

Source link FTC fines fashion retailers to curb negative reviews | WGN Radio 720

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