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Symantec, McAfee Hit With Fines Over Auto-Renewal
Mike Sachoff
Staff Writer
2009-06-12
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New York Attorney General Andrew M. Cuomo has announced a settlement with computer security software vendors Symantec and McAfee after the companies renewed customers' software subscriptions without the customers' knowledge or permission.
 | | Symantec, McAfee Hit With Fines Over Auto-Renewal |  |
Under the Attorney General's settlement, both companies will make detailed disclosures to customers about subscription terms and renewal, and each will pay $375,000 in fines.
"Companies cannot play hide the ball when it comes to the fees consumers are being charged," said Attorney General Cuomo.
"Consumers have a right to know what they are paying, especially when they are unwittingly agreeing to renewal fees that will not appear on their credit card bill for months. Symantec and McAfee - two of the nation's largest vendors of computer security software - will now have to be clear and up-front with their customers when it comes to renewal fees. In other words, no more hide the ball with renewal fees."
An investigation by the Attorney General into the online marketing and sales practices of Symantec and McAfee found that the companies failed to adequately disclose to customers that subscriptions would be automatically renewed and that they would be charged for subsequent subscriptions.
The Attorney General's office received complaints from customers who had bought Symantec and McAfee software over the Internet and whose credit cards were later charged for "renewal subscriptions" without their knowledge or consent. In addition, the investigation also revealed that both Symantec and McAfee made it difficult for consumers to contact the companies to opt out of automatic renewal or to request refunds for unauthorized credit card charges.
The companies have since made it easier to opt out of automatic renewal. Norton users, who want to unsubscribe from Symantec's program, can do so on their Norton Account Web page. U.S. McAfee customers can call customer service at 1-866-622-3911. Both companies will now offer a refund within 60 days of the charge.
About the Author:
Mike is a staff writer for WebProNews. Visit WebProNews for the latest ebusiness news.
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