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Pennsylvania: AG announces $25,000 settlement with Shopgala

The Pennsylvania Attorney General (AG), Michelle Henry, announced, on February 22, 2024, that it had reached a $25,000 settlement with Shopgala LLC, in relation to the sale of Pennsylvanian citizens' information to telemarketing companies.

Background to the case

In particular, the AG noted that Shopgala, operator of Surveys2cash, obtained information from citizens who registered to receive free samples or payment for completing online surveys.

Findings of the AG

The AG found that the promotional offers did not outline to consumers clear disclosures of the possibility of having their information sold to telemarketers. Furthermore, the AG also found that Shopgala failed to obtain an express agreement in writing to contact consumers who registered their details on the national do-not-call (DNC) registry. As such, the AG found that Shopgala violated Section 2242 of the Telemarketer Registration Act and Section 310.4(b)(iii)(B)(1) of the Federal Telemarketing Sales Rule.

Outcomes

Further to the above, the AG highlighted that it had reached a settlement that requires Shopgala to pay $25,000 in penalties and to not sell or share consumer data unless it was acquired in compliance with the requirements under the Federal Telemarketing Sales Rule.

You can read the press release here and the settlement here.

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