[{"innerBlocks":[],"name":"core\/freeform","postId":2948,"blockType":{"name":"core\/freeform","keywords":[],"attributes":{"content":{"type":"string","source":"raw"},"lock":{"type":"object"}},"providesContext":[],"usesContext":[],"selectors":[],"supports":{"className":false,"customClassName":false,"reusable":false},"styles":[],"variations":[],"apiVersion":3,"title":"Classic","description":"Use the classic WordPress editor.","category":"text"},"originalContent":"Pact, a mobile app vendor that promised cash incentives to get consumers to meet fitness and nutrition goals, has agreed to settle Federal Trade Commission allegations that it falsely promised to pay financial rewards as well as unfairly billed them without their consent.

Under the FTC settlement, consumers will receive more than $940,000 in earned cash rewards and refunds for improper charges as part of a $1.5 million judgment\u2014the rest of which is suspended.

\u201cConsumers who used this app expected the defendants to pay them rewards when they achieved their health-related goals, and to charge them only when they did not,\u201d said Tom Pahl, acting director of the Bureau of Consumer Protection. \u201cUnfortunately, even when consumers held up their end of the deal, Pact failed to make good on its promises.\u201d

Also See<\/b>: FTC bars eye app vendor from making deceptive claims <\/a>

In its compliant<\/a>, the FTC alleged that consumers have \u201csuffered substantial injury\u201d as a result of Pact\u2019s violations of the FTC Act\u2019s prohibition against unfair and deceptive practices and the Restore Online Shoppers\u2019 Confidence Act, which prohibits using a negative option feature to charge consumers for goods or services unless the material terms of the transaction\u2014including the method to stop recurring charges\u2014are clearly and conspicuously disclosed before obtaining consumers\u2019 billing information.

As part of the settlement, Pact is prohibited from misrepresenting the circumstances under which they will charge or make payments to consumers, and from charging consumers without their express, informed consent. The vendor also agreed not to market or sell products that include a negative-option billing feature without clearly and conspicuously disclosing the terms to consumers.

According to the FTC, Pact has already begun the process of returning money to consumers and under the terms of the settlement must notify consumers and complete payments of more than $940,000 within 30 days of entry of the order.

Pact executives were not immediately available for comment.","saveContent":"Pact, a mobile app vendor that promised cash incentives to get consumers to meet fitness and nutrition goals, has agreed to settle Federal Trade Commission allegations that it falsely promised to pay financial rewards as well as unfairly billed them without their consent.

Under the FTC settlement, consumers will receive more than $940,000 in earned cash rewards and refunds for improper charges as part of a $1.5 million judgment\u2014the rest of which is suspended.

\u201cConsumers who used this app expected the defendants to pay them rewards when they achieved their health-related goals, and to charge them only when they did not,\u201d said Tom Pahl, acting director of the Bureau of Consumer Protection. \u201cUnfortunately, even when consumers held up their end of the deal, Pact failed to make good on its promises.\u201d

Also See<\/b>: FTC bars eye app vendor from making deceptive claims <\/a>

In its compliant<\/a>, the FTC alleged that consumers have \u201csuffered substantial injury\u201d as a result of Pact\u2019s violations of the FTC Act\u2019s prohibition against unfair and deceptive practices and the Restore Online Shoppers\u2019 Confidence Act, which prohibits using a negative option feature to charge consumers for goods or services unless the material terms of the transaction\u2014including the method to stop recurring charges\u2014are clearly and conspicuously disclosed before obtaining consumers\u2019 billing information.

As part of the settlement, Pact is prohibited from misrepresenting the circumstances under which they will charge or make payments to consumers, and from charging consumers without their express, informed consent. The vendor also agreed not to market or sell products that include a negative-option billing feature without clearly and conspicuously disclosing the terms to consumers.

According to the FTC, Pact has already begun the process of returning money to consumers and under the terms of the settlement must notify consumers and complete payments of more than $940,000 within 30 days of entry of the order.

Pact executives were not immediately available for comment.","order":0,"get_parent":{},"attributes":[],"attributesType":{"content":{"type":"string","source":"raw"},"lock":{"type":"object"}},"dynamicContent":""}]

Mobile app vendor agrees to $940K FTC settlement

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