From: Richard Sampson
Subject: IP: FTC: Internet merchant barred for life from "net-based" commerce
Date: Wed, 09 Sep 1998 15:10:43 -0400
To: "ignition-point@majordomo.pobox.com"
FTC: Internet merchant barred for life from "net-based" commerce
SEP 9, 1998, M2 Communications - An Internet "entrepreneur" who
advertised low priced computers in online auction houses and collected
the sales price but never delivered the goods would be barred for life
from conducting any Internet commerce, under the terms of a settlement
with the Federal Trade Commission. The defendant, who did business as
Experienced Designed Computers and C&H Computer Services, would be
prohibited from advertising, marketing or selling goods or services via
the Internet, from making misrepresentations about any goods or
services he sells and from violating the Mail or Telephone Order
Merchandise Rule.
The defendant, Craig Lee Hare, also known as Danny Hare, operates
from Lake Worth, Florida.
In April, 1998, the FTC alleged that Hare had used online auction
houses to offer new and used computers for sale. After "successful
bidders" paid as much as $1,450 per computer, Hare provided them with
neither the computer nor a refund. At the request of the FTC, a federal
district judge issued a temporary restraining order and froze Hare's
assets, pending trial. The agency asked the court to issue an
injunction permanently barring Hare from violating the FTC Act and the
Mail or Telephone Order Merchandise Rule. The stipulated permanent
injunction and final judgment announced today would settle those
charges.
The settlement would permanently bar Hare from participating in any
online commerce. It also would bar him from misrepresenting his
identity in commercial e-mail and misrepresenting any fact that is
material to a consumer's decision to purchase any goods or services in
any form of commerce. In addition, the order would prohibit future
violations of the Mail or Telephone Order Merchandise Rule. Finally,
the order provides record keeping provisions to allow the FTC to
monitor compliance.
Stephanie J. Herter, also known as Stephanie Branham, also entered in
a settlement with the Commission. She was named in the FTC complaint
against Hare as a relief defendant because checks Hare received from
consumers were deposited in her checking account. In settlement of the
charges against her, Herter will release Hare's funds in that account
to be used for consumer redress, or, if that is impractical, to be
deposited into the U.S. Treasury.
The stipulated permanent injunctions were filed in the U.S. District
Court, Southern District of Florida, West Palm Beach Division.
NOTE: These consent judgments are for settlement purposes only and do
not constitute an admission by the defendants of a law violation.
Consent judgments have the force of law when signed by the judge.
Copies of the complaint, Stipulated Final Judgment and Orders and a
consumer alert, "Online Auctions: Going, Going Gone!" are available
from the FTC's web site at http://www.ftc.gov and also from the FTC's
Consumer Response Center, Room 130, 6th Street and Pennsylvania Avenue,
N.W., Washington, D.C. 20580; 202-FTC-HELP (202-382-4357); TDD for the
hearing impaired 202-326-2502. To find out the latest news as it is
announced, call the FTC NewsPhone recording at 202-326-2710.
-0-
(C)1994-98 M2 COMMUNICATIONS LTDCONTACT: Claudia Bourne Farrell,
Office of Public
Affairs
Tel: +1 202-326-2181
*M2 COMMUNICATIONS DISCLAIMS ALL LIABILITY FOR
INFORMATION PROVIDED WITHIN M2 PRESSWIRE. DATA
SUPPLIED BY NAMED PARTY/PARTIES.*
News provided by COMTEX.
[!BUSINESS] [!HIGHTECH] [!INFOTECH] [!WALL+STREET] [ADVERTISING]
[BUSINESS] [COMMERCE] [COMPUTER] [CONSUMER] [E-MAIL] [FLORIDA]
[INTERNET] [MARKETING] [MTO] [NEWS] [NEWSGRID] [ONLINE] [PENNSYLVANIA]
[SALES] [TRADE] [TRIAL] [USA] [WASHINGTON]
--
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NOTE: In accordance with Title 17 U.S.C. section 107, this material is
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educational purposes only. For more information go to:
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