
Publishers Clearing House is sending checks to more than 280,000 people — but the money isn't part of a sweepstakes win.
The $18 million in refund checks are the result of a 2023 settlement with the Federal Trade Commission over accusations the decades-old sweepstakes company made misleading claims to consumers.
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The FTC complaint alleged that PCH "targeted older and lower-income consumers, deceiving them into thinking either that consumers could not enter into sweepstakes without purchasing a product or that their chances of winning would be increased by purchasing products."
The complaint also said PCH's shipping and handling fees were deceptive, and that the sweepstakes company "misrepresented that ordering was 'risk-free,' even though consumers who wanted refunds had to return products at their own expense."
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It also said that PCH misled consumers through emails with "deceptive subject lines" that could have led consumers to believe the email was related to official or government documents, like tax forms.
Less than a month ago the company, which saw its heyday in the 1990s and 2000s, filed for Chapter 11 bankruptcy. It characterized the process as a way for it to “" away from its legacy business operations of direct-mail, retail merchandise and magazine subscriptions.
The company is hoping to transition to a “pure digital advertising” model, where it will continue to offer free-to-play entertainment and prizes, .
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According to the FTC, 281,724 consumers will receive refund checks. Consumers who ordered a product from the company after receiving and clicking on one of the emails that the FTC alleged were deceptive are eligible for the money.
Recipients should cash their checks within 90 days, the FTC said. A timeline on when checks would be sent or should be expected to be received was not provided.
People who are expecting to get a refund and have questions can contact the settlement administrator, Rust Consulting, at 888-516-0774.
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