A lawsuit for alleged “misleading and exaggerated claims” has been filed in Chicago against Time Consumer Marketing Inc., the consumer-marketing unit of New York-based Time Inc.
The suit, filed in Cook County Superior Court by the Cook County, IL, State’s Attorneys Office on Tuesday, accuses Time Consumer Marketing of consumer fraud in its “Guaranteed & Bonded Sweepstakes” promotion mailings earlier this year.
It alleges that Time Consumer Marketing violated the state’s Consumer Fraud and Deceptive Business Act in a direct mail sweepstakes promotion for Time Inc.’s books, magazines, audio and video tapes that implied the recipient was a sweepstakes winner.
If found guilty of violating the act, Time Consumer Marketing could be fined up to $50,000 per violation.
Time Inc. “has heard about the law suit, but has not been served with any legal papers,” said spokesman Peter Costiglio. While he would not comment on the legal action, Costiglio added that “the statements made in the Guaranteed & Bonded mailings are in fact truthful and not deceptive.”
Cook County State’s Attorney Dick Devine disagreed. He cited as an example a mail piece addressed to Cook States, 50 W. Washington, Ave., Chicago, proclaiming “Cook States Has Won $833,337 In a Single Cash Payment.” The downtown Chicago address happens to be for the Cook County State’s Attorney’s office.
Devine said the receipt of that mailing, plus an unspecified number of complaints from consumers, prompted an investigation leading to the lawsuit.
According to Devine the mailing did not disclose the estimated odds of winning the Guaranteed & Bonded Sweepstakes and falsely implied that recipients could increase their chances of winning by buying books, tapes or records.
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