FTC fines fashion retailer for suppressing negative reviews

NEW YORK (AP) – The Federal Trade Commission fined online fashion retailer Fashion Nova $ 4.2 million, saying that for …

NEW YORK (AP) – The Federal Trade Commission fined online fashion retailer Fashion Nova $ 4.2 million, saying it has blocked negative reviews of its products on its website for years.

The agency said in a complaint Tuesday that the California-based retailer misrepresented the fact that product reviews on its website reflected the views of all shoppers who submitted reviews, when in fact it suppressed reviews with ratings. below four out of five stars.

He claimed that from late 2015 through November 2019, Fashion Nova never approved or posted the hundreds of thousands of most negative and lower star reviews.

The FTC says it’s the agency’s first case involving a company’s efforts to hide negative customer reviews.

“Deceptive audit practices cheat consumers, undermine honest businesses, and pollute online commerce,” Samuel Levine, director of the FTC’s Bureau of Consumer Protection, said in a statement. “Fashion Nova is held accountable for these practices and other companies should acknowledge them.”

The FTC also said it is sending letters to 10 companies offering “review management services”. He says the action serves as a warning that avoiding the collection or posting of negative reviews violates FTC law.

Fashion Nova called the agency’s allegations against the company “inaccurate and misleading”. She claimed that she never suppressed any website reviews and immediately and voluntarily addressed the website review issues when she became aware of them in 2019.

“Fashion Nova is very confident that it would win in court and agreed to settle the case only to avoid the distraction and legal fees that would incur in the litigation,” the company said in an e-mailed statement to the Associated Press.

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