Federal Trade Commission To Regulate Bloggers

Bloggers Must Disclose Paid Reviews

Having read about this “breaking news” on DragonBlogger’s blog, I’ve decided to share this with you all because I believe that this is too important to be ignored.

For the first time in blogging history, the Federal Trade Commission will try to regulate blogging, requiring writers on the Web to clearly disclose any freebies or payments they receive from companies for reviewing their products. It is the first time since 1980 that the commission has revised its guidelines on endorsements and testimonials, and the first time the rules have covered bloggers.

Having been unanimously voted 4-0 by the commissioners, the new rules will take effect on December 1, 2009. Violations by bloggers or advertisers could bring fines of up to $11,000 and could also face injunctions and be ordered to reimburse consumers for financial losses stemming from inappropriate product reviews.

Now, I really think that this is a wise move. Not only will paid reviews be more transparent but will also gain credibility, considering that there are many reviews out there that are misleading and inaccurate. On the other hand, I can see a “breath of fresh air” from serious bloggers wanting to choose this form of making money online, as this could change Google’s stance on paid post.

What say you? Do you think that this is a good move from the FTC?