BBB National Programs Archive
Product Opinion Panel Direct Response Advertising Referred To FTC
New York, NY – June 1, 2005 – The Electronic Retailing Self-Regulation Program (ERSP), announced that it will refer advertising disseminated by yoursmartrewards.com, marketers of Win a Free PSP, to the Federal Trade Commission (“FTC”). The truth and accuracy of the marketer’s claims came to the attention of ERSP through its ongoing monitoring program.
ERSP was concerned the advertisement for the Free PSP product did not include a disclosure indicating that additional conditions are applicable to receive the “free” product.
Pursuant to the ERSP Procedures, after failing to respond to ERSP’s original inquiry within fifteen calendar days, the direct response marketer was afforded a second ten-day period in which to submit a substantive response. The marketer failed to meet this second deadline and pursuant to section 2.6 (B) of the ERSP Procedures, this inquiry has been referred to the FTC in order to address concerns regarding the truthfulness and accuracy of the Free PSP direct response advertisement.