Forced Continuity and the FTC

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solvetheproblem

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Jan 2, 2008
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Hello,

Forced Continuity, as everyone knows, is a hot topic in the FTC today. It seems as though anyone promoting a "Trial" that includes automatic rebilling is being sued by the FTC. Perhaps this is just overreacting. What I would like to get going is a discussion about "Forced Continuity". What do I have to say on the landing page? What should I never say? Any ideas would be appreciated. ( I am running noscript for any who wants to Rick-Roll me!)

Thanks,
Solvetheproblem
 


Forced continuity is when its buried in the terms. For example you buy Acai and get signed up to fit factory club as well. The fit Factory is the forced continuity and frowned upon.

That practice if continued will kill the free trial model.
 
Here are the FTC Guidelines for Advertising on the Internet including the actual statutes for the use of Negative Options, Testimonials, Guarantees, the word "Free", etc. As well as what they do when Compliance is not met.

Top of the Page:

Advertising must tell the truth and not mislead consumers.
In addition, claims must be substantiated.

Advertising and Marketing on the Internet: Rules of the Road
 
It's just like the Google Bizopps signing people up for "Health Tracker" as well. It didn't really even make much sense
 
Automatic Credit Card charge and Forced Continuity

Hi,

Thanks for the replies. Are you saying that Forced Continuity and automatic rebills are not treated the same? Is one "easier to hide" than the other? Are both illegal without specifically saying they exist on the landing page?

Solvetheproblem
 
solvetheproblem said:
Hi,

Thanks for the replies. Are you saying that Forced Continuity and automatic rebills are not treated the same? Is one "easier to hide" than the other? Are both illegal without specifically saying they exist on the landing page?

Solvetheproblem
Click to expand...

Rebill - Legal. Companies that do get shut down using rebills are those that make it close to impossible on canceling the rebill. Which then makes it illegal.

Forced Continuity - I would say it's in a grey area, since if you are ever taken to court on this, then you will most likely be shut down. A T&C or disclaimer isn't going to save you in this situation.
 
IF YOUR CUSTOMERS AGREE TO THE CONTINUITY, THEN YOU'RE GOOD.

If you're an ass who hides it in your TOS, may you receive a virtual kick in the nuts. Alright, now that that is done.

*puts on cowboy boots and mutters "Bend over"*

This "negative option continuity* shit bugs the hell out of me, hence the kick in the asshole.
 
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technically the main offer... the acai or whatever, is FC. It's FC because the only way to get it is to accept the continuity terms. The other continuities that they throw in... those are FC too - and the advertisers who use them are just flat out desperate IMO and like Mike K. said that's gonna be the straw that breaks the camel's back b/c most of the offers are shady but that's another level.... Yeah, i've promoted many so i guess i shouldn't criticize too much but damn...can't you make due with 79.99 for 2.7 months or whatever without all the nickle and dime nonsense?
 
Forced continuity (Till Forbid) is not illegal. It's been around for decades. Huge companies have forced continuity - Time Life Books, Columbia House, Video Professor, etc, etc.

Discloser varies of course.

I think some people are confusing forced continuity with forced upsell (like what the Acai Burn guys were doing). $3.95 trial but by the time you were done you had $85 of upsells you had to agree to immediately with no way to remove them from your order. That's sketchy.
 
I really had a pretty hard time finding a non- 'forced continuity' diet offer recently. I found one, but the majority of them add on something other then the primary offer. One of the traffic sources I use kept rejecting my landing page until I replaced the offer with one that doesn't add anything onto the order.
 
Hai guys heres an easy check to see if the FTC will want to rape your asshole one day.

Do more than 10% or so of your customers want to take the sharp side of a hammer to your skull shortly after joining? If yes then you may have problems.

Good luck bro!
 
I am building the genuine rebill product ATM: something just as legal as Netflix: there will be service provided that has actual value and lots of it; but why would I not offer a free trial to get more conversions? Seriously.. well, ftc won't have shit on me but Im getting my asshole vaselined just in case :)
 
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