Yellow Pages, Inc. Deceptive Ads force $525,000 Multi-State Settlement

According to a press release from the Washington Attorney General Rob McKenna, California-based marketer of Internet directory listings, Yellow Pages, Inc., will pay $525,000 to settle allegations of deceptive marketing practices brought by 27 states.

“Washington and other states alleged that Yellow Pages, Inc., tricked businesses into paying for advertising services they never intended to purchase, then referred the debt to collections if they failed to pay,” McKenna said. “Washington law prohibits any sort of deceptive solicitation for products or services. Consumers must give their informed consent before obligating themselves to purchase products and services.”

The Washington State Attorney General’s Office sued Yellow Pages, Inc., in February 2005 after more than 75 Washington businesses and organizations complained about the company’s marketing practices. According to the lawsuit, the company sent deceptive mailings in the form of checks that resembled a customer refund or rebate, but instead were a contract to buy business listings on its website.

We would get one of these advertisements about every other month. They were usually a check for about $3 or $4 but the back had a statement right above where you sign saying you wish to be listed in their web directory for 1 year and promise to pay $15 for this service. Wish they could have done more, but am glad we should not be getting these anymore.