New rules to end 'blogger payola'
By Maggie Shiels
Technology reporter, BBC News, Silicon Valley
US regulators will for the first time crack down on bloggers who fail to disclose fees or freebies they get from companies for reviewing products.
The Federal Trade Commission, FTC, decided to update its nearly 30 year old guidelines to clarify the law for the vast world of blogging.
Offenders could face eventual fines of up to $11,000 (£6,900) per violation.
The updated policy on how advertisers can use endorsements will also apply to celebrities and research firms.
Until now, bloggers had not been covered by the guidelines - something which had concerned consumer groups. They had argued that for a long time that the links between some bloggers and companies were not always totally transparent and clear for readers.
"Consumers are increasingly dependent on the internet for purchase information," said Jack Gillis of the Consumer Federation of America.
"There's tremendous opportunity to steer consumers in the wrong direction."
Full story at: BBC News Technology
00:51 GMT, Tuesday, 6 October 2009 01:51 UK
Dunno about you but the last thing I want to do is spend ages online researching a product or service, trying to find what's best for my needs, only to have my time completely wasted by borderline unscrupulous people who'll say whatever they're told with an eye to a fast buck.
Obviously that's in the States but it's a move in the right direction for anyone searching for honest unbiased reviews online.
What do you think?
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