In August 2017, the Federal Trade Commission (“FTC”) filed charges against an online marketing operation accused of deceiving consumers with a "free trial" offer for tooth whitening products and other items. The defendants enticed shoppers with a low-cost trial offer of $1.03 plus shipping, but consumers were unknowingly enrolled in a recurring subscription service. The FTC alleged that the operation used deceptive tactics, including hidden disclosures and confusing terms, to obtain consumers' billing information. As a result, many consumers were charged approximately $200 a month for two subscriptions—one for the initial product and another for an identical item—unless they canceled within a short window of eight days.
FTC v. RevMountain, LLC, et al. (Negative Option)
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