FTC Compliance and Review Management
The Federal Trade Commission has strict rules about how businesses collect and manage online reviews. Violations carry fines of up to $51,744 per incident. Understanding these rules is not optional — it's essential for every business that collects customer reviews.
What Is Review Gating?
Review gating is the practice of filtering or routing customers based on their anticipated feedback before they reach a public review platform. In practice, this means asking customers how their experience went, then only sending the happy ones to Google while redirecting dissatisfied customers to a private form.
Violation Example
A business sends a satisfaction survey after each visit. Customers who rate 4-5 stars receive a Google review link. Customers who rate 1-3 stars see only a private feedback form with no public review option.
Violation Example
A reputation management tool only sends review request emails to customers flagged as "likely promoters" based on visit outcomes, skipping customers who had complex or potentially unsatisfactory procedures.
FTC Guidelines for Online Reviews
The FTC's final rule on consumer reviews (16 CFR Part 465), effective October 2024, establishes five key prohibitions:
- 1
No buying or selling fake reviews
Businesses cannot pay for positive reviews or purchase negative reviews of competitors.
- 2
No review gating
Businesses cannot condition review solicitation on the anticipated sentiment of the review.
- 3
No undisclosed insider reviews
Reviews by employees or their families must include clear disclosure of the relationship.
- 4
No misrepresenting reviews
Cherry-picking, editing, or selectively displaying reviews to create a misleading impression is prohibited.
- 5
No review suppression
Using threats, intimidation, or contractual terms to prevent negative reviews is illegal.
How Arck Ensures Compliance
Arck's Review Firewall is fundamentally different from review gating. Instead of blocking negative feedback, it creates two parallel paths — both available to every customer.
Every Customer Gets the Same Experience
Arck sends the same conversational review request to every customer after their visit — no filtering, no selective solicitation, no exceptions. The request is identical regardless of the service performed or anticipated satisfaction.
Public Reviews Are Never Blocked
Every customer can reach Google Reviews in the same number of steps. Customers who express dissatisfaction are offered a direct private channel to the business, but the public review option is always accessible. The private channel is an addition, not a replacement.
Full Audit Trail
Every customer interaction is logged with timestamps. You can demonstrate to any regulatory body exactly how your review collection process works, who was contacted, and what options they were given.
The Penalty for Non-Compliance
The FTC's enforcement authority is significant. Under the final rule, each individual violation can carry a civil penalty of up to $51,744 (2026 adjusted figure, originally $50,120 in 2024).
Real Exposure for Small Businesses
A business sending 100 review requests per month with a non-compliant process could face $5.17 million in annual penalty exposure. The FTC can pursue both the business and any third-party software provider that facilitates the violation.
Source: FTC Final Rule on the Use of Consumer Reviews and Testimonials, 16 CFR Part 465. Penalty amount adjusted per 28 CFR 85.5 (2026).
Best Practices for Your Business
Six actionable steps to keep your review process compliant.
Audit Your Tools
Check if your current reputation management software uses any form of review gating — many legacy tools do.
Ask Every Customer
Send review requests to all customers, not just those you expect to be satisfied. No filtering, no exceptions.
Equal Access
Every customer should be able to reach Google Reviews in the same number of steps, regardless of their sentiment.
Document Everything
Keep an audit trail of your review collection process. The FTC values demonstrable compliance efforts.
Train Your Staff
Front desk and admin staff should understand what review gating is and why it is prohibited.
Use Compliant Tools
Choose reputation management software designed for FTC compliance from day one, not retrofitted after the fact.
Compliance Shouldn't Be Complicated
Arck's Review Firewall is built for the post-FTC-rule world. Every customer gets the same experience, every interaction is logged, and public reviews are never blocked. Compliance by design, not by accident.
No credit card required. FTC compliant by design. Built for small businesses.