28/06/2001
Publishers Clearing House told “Just Say No” to false advertising
Publishers Clearing House has agreed to a $34 million settlement and promised to change its practices after a lawsuit brought by 26 states, charging the largest sweepstakes publisher in the United States with ?deceptive solicitations and promotions?. This suit follows a previous one last summer.
The sweepstakes giant is banned from using false statements, such as ?you're a winner? or ?you're guaranteed to win?. The company is also banned from targeting specific consumer groups. In addition, the company is also required to provide a sweepstakes fact sheet, explaining to consumers that they do not need to purchase anything in order to win, and revealing to odds of winning.
As a result, a number of gambling industry marketing professionals have voiced their concerns whether this is the beginning of a trend that will impact upon their sphere of influence too.
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