Publishers Clearing House has been slapped with two new lawsuits over the wording in its sweepstakes offers.
Last week, Indiana Attorney General Jeffrey Modisett sued the stampsheet mailer, charging that it violated the state’s Promotional Gifts and Contests Act.
The suit, on file in Marion County Superior Court, alleges that PCH failed to tell recipients of four mailings into the state about their odds of winning its multi-million dollar sweepstakes. Modisett is asking the court to fine PCH $500 for each alleged offense.
In January. Wisconsin Attorney General James Doyle sued PCH, saying that it falsely indicated to mail recipients that they have either won or will win a large cash prize. PCH also said that
The complaint, on file with Columbia County Circuit Court, Madison, also alleges that that they could improve their chances of winning by purchasing its merchandise and that its sweepstakes promotions are “endorsed, ratified or legalized by the State of Wisconsin and the United States government.”
The filings came as a shock to PCH, which believes its “mailings are in full compliance with the laws” of both states,” said PCH spokesperson Christopher Irving.
The company is also in full compliance with the terms of a voluntary 1994 agreement with 14 states, including Indiana and Wisconsin, Irving said.
PCH has been working on the sweepstakes issue with numerous state attorneys general, including Doyle and Modisett, and believed those discussions were “moving in a very positive direction and we heard no indication that either felt otherwise,” Irving continued.
Modisett disagrees. After nearly a year of talks with PCH he “reached the conclusion that there is not going to be sufficient change of a voluntary nature [and] the only tools that are left to us are lawsuits,” he said in a statement.
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