Tue, Feb 20 2007 13:54
Adware maker settles with FTC for $1.5M
Adware distributor Direct Revenue LLC has agreed to pay $1.5 million
to settle charges filed by the U.S. Federal Trade Commission (FTC).
The deal, announced Friday, is the second such agreement struck
by the FTC with an adware vendor in the last four months. In November,
Zango Inc. -- also known as 180solutions -- agreed to pay $3 million to
settle similar allegations.
According to the FTC's charges, Direct Revenue and its
affiliates installed adware, including programs that produced pop-up
ads, on users' machines without properly disclosing what the software
would do. In some cases, Direct Revenue affiliates exploited browser
security flaws to install adware. The result, said the FTC, was "unfair
and deceptive methods to download adware onto consumers' computers and
then obstruct them from removing it."
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