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Note:This website is where you can find advertising law information based on archived news briefs from past issues of Advertising Compliance Service. These archived advertising law-related news briefs were published in Advertising Compliance Service in August 2002.

 

 

 

 


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FIRM TO PAY $100,000 FOR ALLEGED VIOLATIONS OF WARRANTY RULES

PeoplePC, Inc., a seller of personal computers, computer peripherals, software, and Internet service, will pay a $100,000 civil penalty to settle FTC charges that, among other things, the company violated the Pre-Sale Availability of Written Warranty Terms Rule (Pre-Sale Availability Rule) by not "clearly and conspicuously" providing consumers with the warranties covering the products or services they purchased, or information on how the warranties could be obtained, before the purchases were made. This action marks the second time FTC has brought a Pre-Sale Availability Rule complaint against a company selling a product over the Internet.

NOTE: This consent decree is for settlement purposes only and does not constitute an admission by the defendant of a law violation. Consent decrees have the force of law when signed by the judge.

(PeoplePC, Inc., et al., FTC File No. 012-3045, August 23, 2002.)

FTC OK's DRAFT FINAL GUIDELINES FOR INFORMATION DISSEMINATED BY FTC

FTC has OK'd revised draft final Guidelines for Ensuring and Maximizing the Quality, Objectivity, Utility, and Integrity of Information Disseminated by FTC. FTC's Chief Information Officer will submit the guidelines to the Office of Management and Budget (OMB) in accordance with section 515 of the Treasury and General Government Appropriations Act for Fiscal Year 2001, Pub. L. No. 106-554.

FTC's guidelines contain detailed information on: (1) their purpose; (2) FTC's role in public information dissemination; (3) FTC's commitment to quality information dissemination; (4) information quality principles; (5) guidelines-related definitions; (6) pre-dissemination information quality review; (7) development of quality information and data; (8) the transparency of underlying data and methods; (9) the integrity of FTC information and data; (10) documentation; (11) the administrative mechanism for seeking and obtaining the correction of information; and (12) compliance, reporting, and effective date of the guidelines.

The vote to approve publication of the Federal Register notice was 5-0.

(FTC Release, FTC File No. P859907, August 2, 2002.)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Hosting Service Advertised Services for Flat Fees but then Crammed Unauthorized Charges: Court.

 

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