California Law Protects Customers Who Write Bad Reviews

California has now made it illegal for companies to penalize customers who voice their negative opinions online.

A string of companies have attempted to discourage bad reviews with penalties, leading California to do something about it. Gov. Jerry Brown signed AB 2365 into law on Tuesday, prohibiting provisions in contracts that waive "the consumer’s right to make any statement regarding the seller or lessor or its employees or agents, or concerning the goods or services."

See also: Didn't Enjoy Your Hotel Stay? That'll Be $500, Please

When a New York hotel posted a policy to charge customers $500 if a bad online review came from one of their guests, it did not go over well. The move was enough to attract dozens more negative reviews, and the Union Street Guest House's Yelp rating is now a measly 1.5 stars. Read more...

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