The proposed General Assembly Committee Bill No. 5560 seeks to enhance consumer protection by prohibiting deceptive practices related to consumer reviews, testimonials, and endorsements of businesses, consumer goods, and services, effective October 1, 2025. The bill defines key terms such as "business," "consumer," and "consumer review," and establishes that it is an unfair or deceptive trade practice for businesses to engage in misleading activities, including writing or selling false reviews and providing compensation for reviews that express a specific sentiment. Additionally, businesses are required to disclose any material relationships when disseminating testimonials from individuals associated with the business and are prohibited from misrepresenting the independence of reviews on their platforms.
Furthermore, the bill introduces regulations regarding the display and suppression of consumer reviews on internet platforms, ensuring that businesses cannot selectively hide negative reviews without disclosing that not all submitted reviews are represented. It mandates that disclosures related to consumer reviews must be easily noticeable and understandable, without requiring additional actions from consumers. The bill also empowers the Commissioner of Consumer Protection to adopt regulations for its implementation and aims to protect vulnerable groups, such as minors and the elderly, from misleading practices. Overall, the legislation seeks to ensure that consumer reviews accurately reflect genuine experiences and opinions while enhancing transparency in the marketplace.