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FTC Settles Charges Against Retailers for Deceptive Ads

Internet retailers buy.com and Value America and their bricks-and-mortar counterpart Office Depot yesterday settled charges with the Federal Trade Commission that that ran deceptive ads for so-called “free” and “low-cost” computer systems. The charges were based on promotions that were conditional to the purchase of three years of Internet service. The FTC said the three retailers did not disclose the true costs and important restrictions on the offers.

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