Washington —
TechNet, the national, bipartisan network of innovation economy CEOs and senior
executives, today applauded the House for passing legislation that prohibits
companies from punishing consumers who post negative reviews online. Introduced by Reps. Leonard Lance (R-NJ) and
Joseph P. Kennedy III (D-MA), the Consumer
Review Fairness Act of 2016 (H.R.
5111) bans the use of “non-disparagement” clauses in consumer contracts, which
companies use to prevent consumers from posting critical reviews of their
experiences online.

“With the passage of
the Consumer Review Fairness Act, the
House has struck a blow against businesses that seek to punish consumers for
posting negative reviews online,” said Linda Moore, president and CEO of
TechNet. “Online reviews have become an integral part of daily life. With nearly 70 percent of consumers relying
on them to make a purchase, consumers should never second-guess posting a
candid review for fear of retaliation.
By banning the use of non-disparagement clauses, consumers can post
honest reviews and hold bad businesses accountable without punishment. TechNet thanks Reps. Lance and Kennedy for their
leadership in securing this legislation’s passage.”

Upon enactment, the Consumer
Review Fairness Act would nullify any non-disparagement clauses in consumer
contracts that restrict consumers’ ability to publicly review products or
businesses. The legislation also
authorizes the Federal Trade Commission and state attorneys general to take
action against businesses that include such clauses in their contracts.

In May, TechNet joined with a dozen other organizations and
companies in writing to the House Energy and Commerce Subcommittee on Commerce,
Manufacturing, and Trade in support of this legislation. The letter can be viewed here.

About TechNet
TechNet is the national,
bipartisan network of technology CEOs and senior executives that promotes the
growth of the innovation economy by advocating a targeted policy agenda at the
federal and 50-state level. TechNet’s
diverse membership includes dynamic startups to the most iconic companies on
the planet and represents more than two million employees in the fields of
information technology, e-commerce, advanced energy, biotechnology, venture
capital, and finance. TechNet has
offices in Washington, D.C., Silicon Valley, Sacramento, Seattle, Boston, and
Austin.