{"id":8941,"date":"2016-10-02T11:59:29","date_gmt":"2016-10-02T18:59:29","guid":{"rendered":"https:\/\/therealdaily.com\/?p=8941"},"modified":"2016-10-17T10:26:50","modified_gmt":"2016-10-17T17:26:50","slug":"now-illegal-sue-bad-online-reviews","status":"publish","type":"post","link":"https:\/\/theamericangenius.com\/housing\/real-estate-marketing\/now-illegal-sue-bad-online-reviews\/","title":{"rendered":"It&#8217;s now illegal to sue for bad online reviews"},"content":{"rendered":"<h2>Fiscal retribution a thing of the past<\/h2>\n<p>The U.S. House of Representatives finally passed a bill that will make it illegal for companies to put \u201c<em>gag clauses<\/em>\u201d in their contracts that block or penalize customers for posting negative online reviews. It\u2019s expected to move through the Senate soon.<\/p>\n<div align=\"center\"><strong>Read also: <a href=\"https:\/\/theamericangenius.com\/lists\/3-unexpected-ways-online-reviews-have-upended-shopper-marketing\/\">3 unexpected ways online reviews have upended shopper marketing<\/a><\/strong><\/div>\n<p><img decoding=\"async\" class=\"alignnone size-full wp-image-91813\" src=\"https:\/\/theamericangenius.com\/wp-content\/uploads\/2013\/12\/bar.jpg\" alt=\"bar\" width=\"100\" height=\"19\" \/><br \/>\nThis is not the first time I&#8217;ve reported on this issue (you can read more <a href=\"https:\/\/therealdaily.com\/big-data\/senate-bans-gag-clauses-used-brands-block-negative-reviews\/\" target=\"_blank\" rel=\"nofollow\">here<\/a>) so it&#8217;s nice to see there is some sense of resolution taking place that supports the consumer.<\/p>\n<h2>Action and reaction<\/h2>\n<p>Just to recap a bit. This bill, officially called the <a href=\"https:\/\/www.congress.gov\/bill\/114th-congress\/house-bill\/5111\" target=\"_blank\" rel=\"nofollow\">Consumer Review Fairness Act<\/a>, is a bipartisan piece of legislation that will void any existing non-disparagement clauses in consumer contracts and give the Federal Trade Commission and state attorneys general the authority to take enforcement action against businesses that attempt to use \u201cnon-disparagement\u201d clauses to quiet consumers.<\/p>\n<p>Crazy stuff, right?<\/p>\n<blockquote><p>But the bill is a reaction to several lawsuits that have been levied by companies trying to penalize their customers who speak poorly about them online.<\/p><\/blockquote>\n<p>Forget about free speech. A number of businesses insert provisions into contracts and terms of service declaring that if the customer writes or says anything negative about the transaction, the company can seek damages.<\/p>\n<p>For example, points out an <a href=\"https:\/\/consumerist.com\/2014\/06\/26\/kleargear-com-ordered-to-pay-306k-to-couple-who-wrote-negative-review\/\" target=\"_blank\" rel=\"nofollow\">Consumerist<\/a>, gadget and apparel company KlearGear once sued a costumer for nearly $4,000 because the individual wrote a negative review online.<\/p>\n<p>Or how about this one: a <a href=\"https:\/\/consumerist.com\/2016\/08\/30\/petsitter-loses-1-million-lawsuit-over-negative-yelp-review\/\" target=\"_blank\" rel=\"nofollow\">pet-sitter<\/a> sought 1 million dollars in damages over a negative Yelp review.<\/p>\n<h2>All it takes is a voice<\/h2>\n<p>Congressman Leonard Lance (NJ) and Rep. Joe Kennedy (MA) took up the cause in the House this spring with the Fairness Act. Though the bill garnered significant <a href=\"https:\/\/consumerist.com\/2016\/09\/12\/house-passes-bill-outlawing-gag-clauses-that-try-to-punish-customers-for-writing-negative-reviews\/%20\" target=\"_blank\" rel=\"nofollow\">bipartisan support<\/a>, it still took quite some time getting to the House floor for a vote.<\/p>\n<blockquote><p>The issue at stake is about posting and protecting honest feedback online.<\/p><\/blockquote>\n<p>Explains Rep. Lance, \u201cOnline reviews and ratings are critical in the 21<sup>st<\/sup> Century and consumers should be able to post, comment and tweet their honest and accurate feedback without fear of retribution. Too many companies are burying non-disparagement clauses in fine print and going after consumers when they post negative feedback online.\u201d<\/p>\n<h2>Onward and upward<\/h2>\n<p>Now that the bill has passed the House, it goes to the Senate. That would normally seem like another political roadblock, but seeing as how the Senate already passed <a href=\"https:\/\/consumerist.com\/2015\/12\/14\/senate-passes-bill-barring-companies-from-using-gag-clauses-to-block-negative-reviews\/\" target=\"_blank\" rel=\"nofollow\">a version of the same bill last year<\/a>, all that\u2019s left really is ironing out the small print in order to combine the two versions before pushing forward for the President to sign.<\/p>\n<h3>#ConsumerReview<\/h3>\n","protected":false},"excerpt":{"rendered":"<p>(BUSINESS NEWS) The bill is a reaction to several lawsuits that have been levied by companies trying to penalize their customers who speak poorly about them online.<\/p>\n","protected":false},"author":337420,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"wds_primary_category":0,"footnotes":"","jetpack_post_was_ever_published":false,"_links_to":"","_links_to_target":""},"categories":[95],"tags":[1215,518],"class_list":["post-8941","post","type-post","status-publish","format-standard","hentry","category-real-estate-marketing","tag-online-reviews","tag-yelp"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts\/8941","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/users\/337420"}],"replies":[{"embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/comments?post=8941"}],"version-history":[{"count":3,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts\/8941\/revisions"}],"predecessor-version":[{"id":9126,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts\/8941\/revisions\/9126"}],"wp:attachment":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/media?parent=8941"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/categories?post=8941"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/tags?post=8941"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}