regulatoryresolutionsg

[regulatoryresolutionsg]

STIPULATED ORDER FORP ERMANENT INJUNCTION AND MONETARY JUDGMENT

FINDINGS

This Court has jurisdiction over this matter.

The Complaint charges that Settling Defendants participated in deceptive and unfair acts or practices in violation of Section 5 of the FTC Act, 15 U.S.C. § 45, Section 4 of ROSCA, 15 U.S.C. § 8403, and Section 907(a) of EFTA, 15 U.S.C. § 1693e(a) and Section 1005.10(b) of Regulation E, 12 C.F.R. § 1005.10(b), in connection with the unfair and deceptive advertising, marketing, promotion, or sale of certain dietary supplements, skin creams, and other products or services through a Negative Option Feature.

Settling Defendants neither admit nor deny any of the allegations in the Complaint, except as specifically stated in this Order. Only for purposes of this action, Defendants admit the facts necessary to establish jurisdiction.

Settling Defendants waive any claim that they may have under the Equal Access to Justice Act, 28 U.S.C. § 2412, concerning the prosecution of this action through the date of this Order, and agree to bear their own costs and attorney fees.

Settling Defendants and the Commission waive all rights to appeal or otherwise challenge or contest the validity of this Order.

PROHIBITED BUSINESS ACTIVITIES

Defendants’ officers, agents, and employees, and all other persons in active concert or participation with any of them, who receive actual notice of this Order, whether acting directly or indirectly, in connection with the advertising, marketing, promotion, offering for sale, or sale of any good or service are permanently restrained and enjoined from: A. Before a consumer consents to pay for such good or service, failing to disclose, or assisting others in failing to disclose in a Clear and Conspicuous manner all material terms and conditions of any offer, including:

The total cost or price of the good or service;

The amount, timing, and manner of all fees, charges, or other amounts that a consumer will be charged or billed, including the date of the charge and whether it will be a credit card or checking account charge; and

The mechanism for consumers to stop a charge.

B. Before a consumer consents to pay for such product, service, or program, failing to disclose, or assisting others in failing to disclose in a Clear and Conspicuous manner all material terms and conditions of any refund or cancellation policy, including:

The specific steps and means by which such requests must be submitted;

The customer service telephone number or numbers that a customer must call to cancel and/or return goods or services;

The email address, web address, or street address to which such requests must be directed;

Any mechanism that customers must use to return any products, including any requirement for specific tracking methods or delivery confirmation for a package;

If there is any policy of not making refunds or cancellations, including any requirement that a product will not be accepted for return or refund unless it is unopened and in re-sellable condition, a statement regarding this policy; and

The date by which a customer is required to request a refund. C. Misrepresenting, or assisting others in misrepresenting, expressly or by implication, any fact material to consumers concerning any good or service, such as:

That the consumer will not be charged for any good or service;

That a good or service is free, risk free, a bonus, a gift, without cost, or without obligation;

That the consumer can obtain a good or service for a processing, service, shipping, handling, or administrative fee with no further obligation