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Consumer Products and Retail Navigator
January 5, 2026

FTC Issues Warning Letters Over Consumer Review Rule: What Marketers Need To Know

Consumer Products and Retail Navigator

On December 22, 2025, the U.S. Federal Trade Commission (FTC) sent warning letters to 10 companies over practices it believes may violate the Consumer Review Rule (16 C.F.R. Part 465) (the Rule) — just over a year after the Rule took full effect in October 2024. The letters mark one of the first major enforcement steps since the Rule’s implementation, suggesting that the FTC is moving from education to active enforcement. Historically, warning letters have served as an early compliance tool and can escalate to formal investigations or enforcement actions if issues remain unresolved. Industries that rely heavily on consumer reviews and influencer marketing — such as e-commerce, beauty and personal care, health and wellness, hospitality, and technology — are particularly exposed to these compliance risks. As marketers plan their advertising strategies for the new year, understanding the FTC’s priorities and the practices most likely to draw scrutiny is essential for navigating this evolving regulatory landscape.

FTC’s Enforcement Focus

According to the FTC, the warning letters were issued based on consumer complaints and information provided by the companies, suggesting the agency is actively monitoring companies’ review practices for compliance. While the letters do not constitute formal determinations that the recipients violated the Consumer Review Rule, they serve as reminders of the Rule’s requirements and caution that violations can lead to federal lawsuits or other legal action, including civil penalties of up to $53,088 per violation.

In a template warning letter published alongside the agency’s announcement regarding the warning letters, the FTC highlights several prohibited practices under the Consumer Review Rule, including:

  • Fake or False Reviews and Testimonials: Businesses cannot create, buy, or disseminate reviews that misrepresent whether the reviewer used the product or had the experience claimed.
  • Buying Positive or Negative Reviews: Incentivizing reviews based on sentiment — such as offering discounts for five-star ratings — is prohibited.
  • Insider Reviews Without Disclosure: Officers, managers, and employees may not post reviews without clearly and conspicuously disclosing their relationship to the company.
  • Company-Controlled Review Sites: Misrepresenting a company-controlled site as independent is a violation.
  • Review Suppression: Using intimidation or selective “gatekeeping” to hide negative reviews is banned.
  • Fake Social Media Indicators: Purchasing fake followers or engagement metrics to boost perceived influence is also prohibited.

Key Takeaways for Marketers

Given the agency’s heightened scrutiny, companies should closely assess their consumer review practices and influencer marketing strategies to ensure compliance with the Consumer Review Rule. Some practices that present particular risk include:

  • Offering discounts, loyalty points, or other perks tied to positive reviews
  • Employees or influencers posting reviews without clear disclosure of their relationship to the brand
  • Using “review gating” tools that filter out negative feedback before publication
  • Operating or contributing to “independent” review sites that the company controls

To help mitigate risk, companies may want to consider:

  • Auditing Review Practices: Confirm that no reviews are fabricated, purchased, or sourced from insiders without proper disclosure.
  • Eliminating Incentivized Sentiment: Remove any programs that tie compensation or perks to positive or negative review content.
  • Strengthening Disclosure Compliance: Ensure influencer and employee relationships are clearly and conspicuously disclosed in all social media or review platforms used.
  • Monitoring Third-Party Vendors: Verify that review hosting services do not engage in suppression or manipulation of consumer feedback.
  • Training Teams and Partners: Provide compliance training for marketing staff, influencers, and agencies on the Consumer Review Rule requirements.

The FTC’s latest actions make clear that accuracy and proper disclosure in consumer reviews and endorsements remain a key enforcement priority. If you have questions about aligning your review and influencer programs with FTC standards and mitigating enforcement risk, please reach out to the authors or any member of Arnold & Porter’s Consumer Protection & Advertising team.

© Arnold & Porter Kaye Scholer LLP 2026 All Rights Reserved. This Blog post is intended to be a general summary of the law and does not constitute legal advice. You should consult with counsel to determine applicable legal requirements in a specific fact situation.