Bill updates consumer-protection code to target fake reviews, DOJ says enforcement is routine

Sen. Mark Noland told the committee Senate Bill 488 updates the Montana Consumer Protection Act to incorporate the Federal Trade Commission’s rule on consumer reviews and to clarify statutes of limitation for state and private actions. Noland said the bill targets false or AI-generated reviews that damage businesses.

Brent Mead, Bureau Chief for the Office of Consumer Protection at the Montana Department of Justice, supported the bill and explained enforcement pathways. Mead said investigators typically use civil investigative demands (CIDs) to platform hosts (for example, Google or Yelp) to trace IP addresses and identify users behind suspect reviews, then send investigative questions to substantiate complaints. "It’s really not [complicated]," he said. "It’s a couple steps. It’s sending out a couple letters."

Mead also explained why the state has a five-year statute of limitations for actions seeking penalties while private parties have two years: the state’s penalty-seeking actions default to a five-year limit in the civil remedies code, while private remedies default to two years.

Committee members asked whether enforcement is practical; Mead said the office has used the same investigative tools in other cases and often resolves matters through settlement after identifying noncompliance. The sponsor and DOJ urged the committee to pass the cleanup to give state enforcement clearer authority.

What’s next: The hearing closed with sponsor remarks and a request for a due pass. DOJ said it will prioritize cases by available resources.