PR Firm Settling FTC Charges of Misleading Endorsements
PR and marketing firm Reverb Communications will settle charges from the Federal Trade Commission stating that the firm posted reviews for a client on the iTunes store without disclosing that they were written by paid employees. In addition to citing Reverb, the FTC also singled out the firm’s owner Tracie Snitker. Reverb and Snitker are ordered to remove misleading endorsements and they’re barred from making further endorsements without proper disclosure.
“Companies, including public relations firms involved in online marketing need to abide by long-held principles of truth in advertising,” said Mary Engle, director of the FTC’s Division of Advertising Practices in the release detailing the settlement.
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