Understanding Laws and Regulations on AI-Generated Product Reviews


In today's digital marketplace, the authenticity of product reviews is crucial for consumer trust and informed decision-making. With the rise of AI technology, concerns have emerged regarding the use of AI-generated reviews. This article explores existing laws and proposed regulations aimed at addressing these issues, providing insights into the legal landscape surrounding AI-generated product reviews.


Laws Prohibiting Fake Reviews

Various countries have enacted laws to combat fake reviews, irrespective of whether they are generated by AI or written by humans. These laws emphasise transparency and fairness in consumer reviews. Here’s a summary of key regulations around the globe:

United States

In the United States, several laws and regulations govern deceptive practices in consumer reviews:

  • Federal Trade Commission (FTC): The FTC Act prohibits deceptive acts or practices, including fake reviews that mislead consumers about the quality or characteristics of a product. This applies to both AI-generated and human-written reviews.

European Union

  • Consumer Protection Cooperation Regulation: EU regulations prohibit unfair commercial practices, including misleading advertising, which covers fake reviews that deceive consumers. This applies to AI-generated content as well.

United Kingdom

  • Consumer Protection from Unfair Trading Regulations: These regulations in the UK prohibit misleading actions and omissions, including false or misleading reviews. Businesses must ensure that reviews, whether AI-generated or not, are accurate and do not mislead consumers.


  • Australian Consumer Law: The Australian Consumer Law includes provisions against misleading or deceptive conduct, covering fake reviews that misrepresent the qualities or characteristics of products. This applies to AI-generated content as well.


  • Act against Unjustifiable Premiums and Misleading Representations: Japanese law prohibits misleading representations, including false or exaggerated product reviews. This legislation applies to both AI-generated and human-authored reviews.


FTC's Proposed Trade Regulation Rule on Consumer Reviews and Testimonials

The Federal Trade Commission of the United States has proposed a new Trade Regulation Rule to address deceptive practices in consumer reviews and testimonials, including those generated by AI. Here are the key aspects of this proposed rule:

  • Prohibition of Fake Reviews: The rule explicitly prohibits the use of fake or misleading reviews, whether generated by AI algorithms or written by individuals.
  • Disclosure Requirements: Businesses must disclose any material connections between themselves and endorsers of products or services, ensuring transparency in consumer reviews.
  • Enforcement and Penalties: The FTC can enforce compliance with this rule through investigations and legal actions, imposing penalties on businesses that violate these regulations.


Navigating the legal complexities surrounding AI-generated product reviews requires a clear understanding of existing laws and proposed regulations. By adhering to these guidelines, businesses can foster trust with consumers while leveraging AI technology responsibly. Stay informed and compliant to ensure your marketing practices align with regulatory standards.

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