A Canadian company will pay redress and alter its marketing practices to settle a Federal Trade Commission complaint that it misled consumers.
Domain Registry of America (DROA), which resells services for eNom Inc., could end up reimbursing 50,000 people, according to the FTC. It also has to submit to monitoring.
The order, which must be approved by the U.S. District of New York, does not include an admission of wrongdoing.
According to the FTC, the Ontario-based firm sent direct mail pieces that appeared to be renewal notices or solicitations. These conned consumers into thinking that they were renewing their registrations when instead they were transferring their registration to DROA’s registrar, eNom, the FTC alleged.
In addition, the pieces were captioned