The New Zealand Commerce Commission has initiated court proceedings against Top Reviews and Auckland Magazine, claiming that these websites mislead businesses by offering favorable rankings while falsely presenting their reviews as impartial.

The Commission is seeking a High Court injunction to halt the misleading practices and block access to the websites in New Zealand. Deputy Chair Anne Callinan expressed concern over the impact on small and medium-sized businesses, emphasizing that they should not be misled into paying for rankings that appear independent.

Top Reviews and Auckland Magazine rank New Zealand businesses in lists like 'The 10 Best' but allegedly do not disclose that payments influence these rankings. Some businesses reported being unaware of their listings, and inaccuracies were found in the information presented.

The Commission's investigation revealed that the websites, which claim to operate locally, are actually based overseas. Additionally, some individuals presented as 'staff writers' were unaware their identities were being used.

Callinan highlighted the risk of disadvantaging businesses that choose not to pay for rankings, stressing the need for transparency in online reviews. The Commission is pursuing declarations that the websites have breached the Fair Trading Act and is working with internet service providers to block access to the misleading content.

In December, the Commission issued a 'Stop Now' letter to both websites, but the misleading conduct persisted, prompting the current court action. Businesses affected by these practices are encouraged to report their experiences to the Commission.