New Products Launch Guide
SEE OTHER BRANDS

Bringing you the latest news on consumer products

Attorney General Bonta, DA Partners Announce $275,000 Settlement with Magazine Billing Company for Misleading California Consumers

 Announcement comes following robust joint state-local investigation 

OAKLAND — California Attorney General Rob Bonta along with San Diego District Attorney Summer Stephan, Alameda District Attorney Ursula Jones Dickson, Los Angeles County District Attorney Nathan Hochman, Marin County District Attorney Lori E. Frugoli, San Francisco District Attorney Brooke Jenkins, and Sonoma District Attorney Carla Rodriguez, today announced a settlement with Pacific Magazine Billing, resolving allegations that the company deceptively disguised solicitation mailers for magazine subscriptions as bills. As part of the settlement announced today, Pacific Magazine Billing agreed to pay $275,000 and is banned from participating in the mail order magazine solicitation industry. 

“In California, we boast nation-leading consumer protection laws — robust tools my office and the offices of local law enforcement partners can use to protect our residents. Pacific Magazine Billing used dishonest tactics to trick recipients into thinking they owed money to get consumers to sign up for a magazine subscription,” said Attorney General Rob Bonta. “Today, the settlement secured by my office and our law enforcement partners sends a clear message to companies looking to make a buck off unsuspecting Californians: If you deceive consumers, we will go after you, it’s that simple.” 

“Deceptive business practices that exploit unsuspecting people in Alameda County will not be tolerated, and this joint settlement shows business owners will be held to account for their actions,” said Alameda District Attorney Ursula Jones Dickson. 

“My office will not tolerate unscrupulous companies profiting from deception,” said Los Angeles County District Attorney Nathan J. Hochman. “Pacific Magazine Billing is accused of disguising third party offers as legitimate invoices in order to trick consumers into paying fake bills — conduct specifically prohibited by state and federal consumer protection laws. Our office will protect consumers from being tricked by these large companies. The Los Angeles County District Attorney’s Office vigorously fights for consumers in our county, and when companies violate consumer protection laws across the state, we proudly partner with fellow district attorneys and the Attorney General to hold violators accountable.”

“The Company’s business model was a scheme built on deception,” said Marin County Deputy District Attorney Michael Wear. “Consumers believed they were paying legitimate bills, when in fact they were being scammed. Our action puts a stop to Pacific Magazine Billing’s fraudulent practices.”

“My office is committed to protecting consumers in San Francisco and around the State from direct mailers that are deceptive or misleading,” said San Francisco District Attorney Brooke Jenkins. “I encourage any consumer who receives an unsolicited mailer that seems confusing or just not right to contact my office’s consumer protection unit. I also want to thank my fellow District Attorneys and our partners in the Attorney General’s Office for working jointly to address the conduct alleged in this case.”

“Our Environmental and Consumer Law Division is committed to holding businesses and individuals accountable when they mislead California consumers,” said Sonoma District Attorney Carla Rodriguez. “We are pleased that we were able to work with the California Attorney General and other California District Attorneys around the state to stop this practice.”

Spurred by consumer complaints, in late 2022 the District Attorneys’ offices and the California Department of Justice launched a joint investigation into Pacific Magazine Billing. The investigation revealed that between 2016 and 2022 the company blasted out tens of millions of mailers that looked like bills for existing magazine subscriptions, when the mailers were in truth solicitations designed to deceive consumers into unknowingly starting or renewing subscriptions. 

The settlement announced today resolves allegations that in sending the mailers, Pacific Magazine Billing misled consumers and violated California’s False Advertising and Unfair Competition Laws. As part of the settlement, Pacific Magazine Billing will pay a total of $275,000 in combined civil penalties and other payments that will be used to fund the enforcement of consumer protection laws. The company has also agreed to strong injunctive terms that permanently stop it from issuing solicitations for any magazine subscriptions and mailing solicitations designed as bills in any other business effort. 

Attorney General Bonta is committed working with law enforcement partners up and down the state to protect California consumers. In April, Attorney General Bonta in partnership with Napa County District Attorney Allison Haley and Santa Barbara County District Attorney John T. Savrnoch, announced a settlement with HomeOptions, a realty company based in Oakland that engaged in a predatory real estate scheme impacting over 500 California homeowners, and its Chief Executive Officer. In 2024, Attorney General Bonta, along with Los Angeles City Attorney Hydee Feldstein Soto, announced a $500,000 settlement with Tilting Point Media LLC resolving allegations that the company violated state and federal laws by collecting and sharing children’s data without parental consent in their popular mobile app game “SpongeBob: Krusty Cook-Off.” In 2023, Attorney General Bonta, along with District Attorneys from Merced, Ventura, and Yolo Counties, announced a settlement against Walmart over allegations that illegal weapons were sold to California consumers by Walmart and by third-party sellers through Walmart’s website.

A copy of the complaint and final judgement can be found here and here. The settlement is pending court approval.

Legal Disclaimer:

EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.

Share us

on your social networks:
AGPs

Get the latest news on this topic.

SIGN UP FOR FREE TODAY

No Thanks

By signing to this email alert, you
agree to our Terms of Service