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Snuggie Refunds $7.2 Million to Consumers

The Federal Trade Commission is issuing more than 200,000 refund checks

The products include Snuggies, the Magic Mesh Door, and other “As Seen on TV” type products. The products were marketed by Allstar Marketing Group, LLC. Consumers who bought them will receive checks averaging $33.14.

The Federal Trade Commission is issuing more than 200,000 refund checks worth more than $7.2 million to consumers who bought products deceptively marketed as “buy one, get one free,” the commission announced Monday.

A total of 218,254 refund checks will be issued, the FTC says.

In March 2015, the FTC alleged that since at least 1999, Allstar used direct marketing TV commercials to sell its products, many of which are familiar to consumers. The products varied, but the pitch was often the same — a “buy one, get one free” offer that did not disclose all the costs, the FTC says.

Because the ordering process was confusing, some consumers were charged for more products than they wanted, according to the FTC.

The court order settling the FTC charges barred Allstar from engaging in the alleged illegal conduct, and imposed a monetary judgement of $7.5 million to provide refunds to affected customers.

Analytics, the refund administrator for this matter, was expected to begin mailing refund checks Monday, the FTC announced. Consumers should receive their refund checks this month, and they must be cashed within 60 days or they will become void.

The FTC never requires consumers to pay money or provide information to cash refund checks. Consumers who have questions should call 1-877-982-1294.

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Pesach Lattin

Pesach "Pace" Lattin is one of the top experts in interactive advertising, affiliate marketing. Pace Lattin is known for his dedication to ethics in marketing, and focus on compliance and fraud in the industry, and has written numerous articles for publications from MediaPost, ClickZ, ADOTAS and his own blogs.

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