DirecTV settles with NY, 21 states

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schwalls

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Nov 7, 2005
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Just wanted to pass this article on...

Source (http://buffalo.bizjournals.com/buffalo/stories/2005/12/12/daily5.html?jst=b_ln_hl)


An investigation into DirecTV Group Inc.'s marketing and advertising practices has been settled with the company agreeing to pay $5 million and refund customers. New York was one of 22 states to question DirecTV's policies. Attorney General Eliot Spitzer's office said in addition to the montary settlement, the company (NYSE: DTV) has agreed to reform its advertising.

The investigation, which began in March 2003, was based a number of upon consumer complaints accusing the company of marketing:

programs that were not always viewable;
sports programs in DirecTV's "Sports Package" that were, at times, blacked-out;
all local programming not available as advertised.
In addition, many subscribers complained of poor reception and cancellation policies they deemed were unfair.

Spitzer's office noted DirecTV's ad contained small, unreadable print and consumers were locked into contracts before learning exactly what their monetary commitments were.
 
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