Are Fake Google Reviews Illegal? The Legal Side of Online Reviews

Folks, so far we have covered a bunch of interesting topics regarding online reputation management (ORM) and Google reviews, such as: “The science behind online reviews”, “Anatomy of negative reviews”, “The role of GMB in enhancing your ORM”, etc.

You can always visit our blog to read more about such interesting topics and to help your business grow.

Today, we are back again with another interesting topic that covers one of the often asked questions: Is it illegal to leave fake bad reviews? Other than that, we would also be covering topics like Google reviews rules and Google google review guidelines review guidelines, a bit about Google’s review policy, why you shouldn’t do everything in your power to prohibit negative reviews for Google or other review sites, how to selectively solicit positive reviews or request reviews, how to create review requests, procedure for checking reviews posted, etc.

A word of caution before you move forward: we would advise to give it a slow read, as it covers the legal side of online reviews and the ups and downs they bring with themselves.

No need to worry though, as we have tried our absolute best to make the content as lucid, and yet holistic, as possible, so that you and your ORM teams can make the most out of it.

Let’s begin with a simple story that might ring true to you if you are as heavily invested in online reviews as most of our visitors.

Once, there was a small coffee shop. The aroma of freshly brewed coffee wafted through the air as patrons, both regular ones and newcomers, streamed in and out. The cafe owner, Ashley, had poured her heart and soul into her place of business.

Day in and out she ensured that every cup was brewed to perfection and every customer left with a smile. But one unfateful day, Ashley noticed a sudden drop in her usual morning crowd. Curious, she checked her Google listing only to find a scathing review from an anonymous user. Her once pristine 5-star rating now teetered on the brink of disaster.

Now, put yourself in Ashley’s shoes and think what would you do if an anonymous guy, or girl, tried spoiling your reputation without any good reason?

One way to go about it is to report that review to Google and request for removal. But wait, the story doesn’t end here. Let’s go a little further.

What if Ashley suddenly starts seeing all such negative reviews on all kinds of review platforms — them being from both anonymous and platform verified profiles?

What would you suggest Ashley do then? Of course, report them and request for their removal, like how we would do in the case of allegedly fake Google reviews. But what if the platforms refuse to take them down?

Can she start putting up her own positive reviews, using multiple profiles, or by seeking help from her friends — even if the reviews are fake ones, just to suppress that one negative review? All this so that the latter is buried so deep down that it never gets the attention of the readers?

Now, the situation is kind of tangled. If Ashely does decide to take the just-mentioned course of action, she might be practicing what many legal experts would call an “unfair trade practice”.

Another thing she could do is report such actions to the legal authorities to practise her legal right against online bullying and harassment.

As much as these options sound lucrative – or crazy, depending on how comfortable you feel practicing both or either of them – you should be first aware of what laws and regulations cover the domain of real and fake online reviews. This would help you get a better perspective of your situation.

And exploring those avenues and their up/downsides is what today’s blog is all about.

So, let’s get started.

Legal Framework Governing Online Reviews: Knowing Your Rights & Responsibilities

One odd day, the Internet might feel like you’re having your best day at Rome’s Colosseum. On the even ones it’s nothing short of the wild west at times. Thankfully, legislative bodies around the world have come to know that since the advent of the World Wide Web.

That’s why there are Google reviews rules and review guidelines in place to protect the safety and privacy of both consumers and businesses.

If someone fails to comply with these laws or regulations, it could lead to severe consequences, forcing them to learn that it is illegal to leave fake bad reviews.

Such consequences can include fines, lawsuits, penalties in lieu of reputational damage, etc.

However, the legal framework surrounding online reviews is still complex and varies depending on the jurisdiction of the area, state, or country.

Nonetheless, there are still some universal principles that you should be aware of to avoid panic and reputation damage in case someone tries to accuse you online by putting up fake reviews with no intent other than causing damage to your business interest.

Key Laws and Regulations

Consumer Review Fairness Act (CRFA)

The act was brought into law during the tenure of America’s 44th President Barack Obama back in 2016. The summary of the act goes like: “The Consumer Review Fairness Act of 2016 invalidates non-disparagement clauses in certain “form contracts” (as defined in the statute) and makes it unlawful for a person to offer or enter into a form contract containing a non-negotiable non-disparagement clause. Violations of this prohibition are enforced by the Federal Trade Commission and state attorneys general. The law does not limit the ability of a person or business to file a civil cause of action for defamation, libel, slander, or any similar cause of action under State law.” (Source: Wikipedia)

For those uninitiated in the ways of law, this act protects consumers’ rights to leave honest reviews about businesses, even if those reviews are negative. How does it do that? It does that by prohibiting businesses from including clauses in their contracts which might prevent customers from leaving negative reviews.

So, for example, if your website asks users to sign some digital form that takes away their right to leave negative reviews, it would be in direct violation of the CRFA.

Does that mean you can’t do anything even if someone leaves a negative review for the sole purpose of causing reputational damage? You can. As provided in the same summary above, CRFA doesn’t take away your right as an individual or a business to take legal action against the irrational nuisance creators. We will cover more on that in point 3.

Federal Trade Commission (FTC) Guidelines

The FTC recently added a new – and their final one  – that oversees fake reviews and such practices by businesses to protect consumer interest. You can visit this link to read about the whole rule, but what it effectively ensures is that businesses don’t post, share, or propagate fake, AI-generated, or misleading reviews that might negatively impact consumer decision-making.

The term “misleading” here can mean over-the-top claims, using fake numbers, names of celebrities that were never associated with your brand, etc.

Also, practices like pumping up your review numbers by either asking your friends (who haven’t really purchased your product or service) or a review agency falls under the ambit of FTC, too.

What’s more? Though you can provide incentives to add up your reviews, that reviewer must disclose any such deals in their review itself.

Now, back to Ashley. Remember we talked about methods Ashley could undertake in case someone puts up negative reviews against her business? In the same line, we also talked about pumping up her good review numbers to bury the bad one. Well, looks like FTC would like to have a word with Ashely in case she decides to go that way.

Defamation and Libel Laws

Defamation is said to have occurred when someone (let’s say a customer of yours) makes a false statement about your business and it ends up hurting your reputation.

When we are talking about online reviews, a review that reads or implies, directly or indirectly, that Ashley’s cafe serves stale food, when it doesn’t, can amount to defamation.

Libel is almost the same as defamation, with the difference being that defamatory content has been published on a platform with bigger audience reach such as a blog, newspaper, radio, TV, etc.

Back to Ashley’s example again. Knowing that people are hurting her business interests for the sole sake of bullying and causing financial damage, she can go for a defamation lawsuit.

However in such cases, we advise that you seek legal opinion first because fighting both defamation and libel are tricky territories and you could end up wasting your time and resources before the verdict comes in your favor.

That’s why with Prosperly, we have this amazing feature that intercepts any negative reviews before they are posted on your Google My Business. You can try it for yourself here.

State-Level Regulations

In addition to federal laws, various states have their own regulations governing online reviews. For instance, California has specific laws that protect consumers from being sued for posting negative reviews. It’s important for businesses to be aware of the regulations in their state and how they may impact online reviews.

State-level regulations can vary widely, so it’s essential for businesses to familiarize themselves with the laws in their jurisdiction. Some states have stronger consumer protection laws than others, and businesses operating in multiple states must ensure compliance with the regulations in each state. Failure to do so can result in legal challenges and potential penalties.

Understanding these laws is the first step in protecting your business from legal risks associated with online reviews. In the next section, we’ll dive deeper into these risks and how to avoid them.

Responding to Negative Reviews: Do’s and Don’ts

It’s natural for you, as a business owner, to feel defensive or dejected when someone puts up a negative review about either your product or service, whereas you were expecting a glowing review after you willingly handed them your Google review link.

However, acting on your impulse to lash out might do more harm than good; especially when everything you do would be visible on Google search, Google Maps,

Also, there are legal risks related to responding in a way that ends up breaching the privacy or hurting the public image of the reviewer.

For example, in case you are so furious that you end up uncovering the contact details or address of the reviewer, then the road ahead from there might not look too good for you or your business.

So, how should you handle it? Well, start with being professional. The next thing to do is to request for removal, but we suggest that you keep that move limited to fake reviews left in bad taste. Because no matter how negative a review is, if it is indeed a genuine one, there is scope for learning.

So, in that case, a well-crafted response to a negative review can turn a bad situation into an opportunity to showcase your commitment to customer service. You do this by addressing the customer’s concerns in a calm and professional manner. You take this an opportunity to demonstrate that you value their feedback and are willing to make things right.

When other reviewers and potential customers see how you handled your angry reviewers, it will drive the point home that you do care about customer feedback. And maybe next time such customers would rather choose to first talk to you regarding a bad service instead of automatically ranting on review platforms as their first option.

Review Manipulation: What Constitutes Unethical Practices?

We have already seen what constitutes unethical review solicitation practices in the FTC guidelines sections. But just to summarize them, these are the review solicitation practices that most regulatory bodies and platforms are now deeming unethical:

1. Rewarding reviewers without them acknowledging the same in public
2. Using AI to generate and post reviews fake reviews
3. Using fake celebrity endorsements
4. Claiming your product or service is superior by backing them up with false lab, medical, or any such pseudo-science studies
5. Using review generation agencies to ramp up your fake review count and score
6. Asking your teammates to review your product even when they have not used the service themselves and are in direct conflict of interest

How to Protect Your Business Against Negative Reviews

1. Developing a Review Policy that Suits Your Business

You must have a clear review solicitation policy in place. Such policy could include steps like:

1. Asking for a review as soon as a customer is done with the purchase
2. Providing review links or QRs to make it easier for your customers to leave a review
3. Asking your customer politely in case something bothered them regarding your service mid-service
4. Informing your customers beforehand to practice caution when reviewing your service and abusive, defamatory, and personal reviews will be reported to the platform.
5. Training your staff how to deal with unhappy customers
6. Legal Recourse for Unfair or Fake Reviews

2. Legal Recourse for Unfair or Fake Reviews

Remember the point we discussed regarding defamation and libel? We advised you to take the legal route but in the same breath we also advised that taking up such a cause can also lend you between a rock and a hard place. So, even then if you choose to take legal action because the reputation damage has been a cause of much financial loss to you, it’s crucial to involve a lawyer who specializes in online reputation management to navigate the process.

Be prepared to provide evidence that the review is false, defamatory, and has caused harm to your business. This may include documentation of the impact on your sales, customer feedback, and any correspondence with the reviewer

It’s also important to work with not just any lawyer but the one who understands the complexities of online defamation cases and can advise you on the best course of action.

3. Reputation Management Strategies as Pre-emptive Measures

Proactive reputation management is key to maintaining a positive online presence. By actively encouraging satisfied customers to leave reviews, businesses can build a buffer against the occasional negative review. Additionally, leveraging customer feedback to improve products and services shows that your business values its customers’ opinions. For those who prefer a hands-off approach, third-party services can help manage online reviews and maintain your business’s reputation.

One effective strategy for reputation management is to create a system for regularly requesting reviews from customers. This can be as simple as sending a follow-up email after a purchase or service asking for feedback. The more positive reviews you generate, the less impact a single negative review will have on your overall rating.

Another strategy is to use customer feedback to identify areas for improvement in your business. By addressing the issues that customers mention in their reviews, you can prevent future negative reviews and demonstrate that you are committed to providing the best possible experience. This not only improves your reputation but also enhances customer satisfaction and loyalty.

For businesses that prefer to outsource reputation management, there are numerous third-party platforms, like Prosperly, that specialize in managing your online Google reviews. Like Prosperly can help you monitor reviews on Google, respond to negative feedback, and implement strategies for generating positive reviews.

Way Forward

Remember, your own business reputation is one of its most valuable assets. By taking a proactive approach to managing online reviews and understanding the legal landscape, you can protect that reputation and ensure your business continues to thrive in an increasingly digital world.

And by being aware of the laws that govern online reviews, recognizing the risks involved, and developing a solid review policy, you can easily manage to navigate the terrain of rocky negative reviews.

At Prosperly, we’re here to help you not only increase your 5-star Google reviews but also navigate the legal challenges that come with them. Don’t leave your business’s reputation to chance—take control of your online presence and ensure your reviews reflect the quality of your products and services.

Don’t wait until a negative review threatens your business—act now to safeguard your online presence and build a foundation for long-term success.