HomeAdvisor, Inc.; Analysis of Proposed Consent Order to Aid Public Comment, 7725-7727 [2023-02383]
Download as PDF
DDrumheller on DSK120RN23PROD with NOTICES
Federal Register / Vol. 88, No. 24 / Monday, February 6, 2023 / Notices
consumers in its advertising of the types
of prescriptions that do not qualify,
enabling ineligible consumers to avoid
the wasted time and expense of
traveling to a center and obtaining a
consultation. (Complaint Para. 36).
Notably, though, the complaint
explains that ‘‘[e]ligibility for vision
correction surgery depends upon
various factors, including a patient’s
prescription level, the thickness of the
cornea, the size of the pupil, and the
stability of the prescription.’’
(Complaint Para. 7.) In addition, the
complaint notes that ‘‘Respondent sets
surgery price guidelines and parameters,
including which prescriptions are
eligible for certain pricing, but generally
leave decisions as to a patient’s
eligibility for LASIK surgery, and the
appropriate type of surgery and laser, to
the judgment of its surgeons and
optometrists.’’ (Complaint Para. 7.) The
company’s centers use two types of laser
surgery and the complaint states that the
decision of which type to use to correct
a patient’s eyesight is left to the surgeon.
(Complaint Paras. 6–7.)
It has been said that medicine is as
much an art as a science.1 Even as
described in the complaint, eligibility
for the surgery—and, as a secondary
matter, pricing for those who are good
LASIK candidates—present complicated
and nuanced questions whose answers
depend on the outcome of the eye
examination and the judgement of the
attending surgeon. There are no clear
rules about who does and does not
qualify for the two types of LASIK
surgery offered at LCA-Vision centers. I
believe there could be instances in
which patients facially may appear to
qualify for the price but, after thorough
examination, are found not to qualify
because of medical conditions or
complications identified during
consultation. I also believe there could
be instances in which some patients
who at first blush may appear to be
ineligible in fact end up qualifying for
the promotional pricing following
consultation due to the discretion the
attending surgeon enjoys.
Moreover, I believe the free eye exam
provides significant value to the
potential patient. Even consumers who
do not qualify for promotional pricing
learn detailed information about their
vision, prescription, and eligibility for
LASIK. As a result of this examination,
LASIK candidates could learn that their
prescriptions have changed, or that they
1 Joseph Herman, Medicine: the science and the
art, 27 J. Med. Ethics: Medical Humanities 42 (2001)
(discussing that ‘‘[m]edicine has been said to be
both a science and an art’’ and describing scientific
and artistic writings that demonstrate this point),
available at: https://mh.bmj.com/content/27/1/42.
VerDate Sep<11>2014
18:51 Feb 03, 2023
Jkt 259001
show signs of glaucoma or other eye
health issues that might require medical
intervention. While the attractive prices
advertised by LCA-Vision may have
encouraged consumers to schedule
consultations, I do not agree that this
battery of comprehensive medical
exams constitutes a waste of time. To
the contrary, I believe that these free,
comprehensive exams provide
significant value to consumers, and that
this value likely outweighs any
potential injury that may have resulted
from the allegedly deceptive
advertising.
Thus, I am not convinced that the
claims here constitute deceptive claims
in violation of the FTC Act. LCA-Vision
offered a price that is available to some
consumers and did disclose that there
were eligibility requirements. I agree
that the disclosures noting eligibility
requirements and the need for an
examination to determine if one
qualifies could have been presented
more clearly in LCA-Vision’s
advertising. But I am concerned that
requiring the inclusion of specific
medical parameters in advertisements,
when those parameters could be either
over- or under-inclusive depending
upon the results of the consultation,
could be more confusing than helpful.
For these reasons, I dissent.
[FR Doc. 2023–02375 Filed 2–3–23; 8:45 am]
BILLING CODE 6750–01–P
FEDERAL TRADE COMMISSION
[Docket No. 9407]
HomeAdvisor, Inc.; Analysis of
Proposed Consent Order to Aid Public
Comment
Federal Trade Commission.
Proposed consent agreement;
request for comment.
AGENCY:
ACTION:
The consent agreement in this
matter settles alleged violations of
Federal law prohibiting unfair or
deceptive acts or practices. The attached
Analysis of Proposed Consent Order to
Aid Public Comment describes both the
allegations in the complaint and the
terms of the consent order—embodied
in the consent agreement—that would
settle these allegations.
DATES: Comments must be received on
or before March 8, 2023.
ADDRESSES: Interested parties may file
comments online or on paper by
following the instructions in the
Request for Comment part of the
SUPPLEMENTARY INFORMATION section
below. Please write ‘‘HomeAdvisor, Inc.;
Docket No. 9407’’ on your comment and
SUMMARY:
PO 00000
Frm 00052
Fmt 4703
Sfmt 4703
7725
file your comment online at https://
www.regulations.gov by following the
instructions on the web-based form. If
you prefer to file your comment on
paper, please mail your comment to the
following address: Federal Trade
Commission, Office of the Secretary,
600 Pennsylvania Avenue NW, Suite
CC–5610 (Annex P), Washington, DC
20580.
FOR FURTHER INFORMATION CONTACT:
Sophia Caldero´n (206–220–4486),
Bureau of Consumer Protection, Federal
Trade Commission, 600 Pennsylvania
Avenue NW, Washington, DC 20580.
SUPPLEMENTARY INFORMATION: Pursuant
to Section 6(f) of the Federal Trade
Commission Act, 15 U.S.C. 46(f), and
FTC Rule § 2.34, 16 CFR 2.34, notice is
hereby given that the above-captioned
consent agreement containing a consent
order to cease and desist, having been
filed with and accepted, subject to final
approval, by the Commission, has been
placed on the public record for a period
of 30 days. The following Analysis to
Aid Public Comment describes the
terms of the consent agreement and the
allegations in the complaint. An
electronic copy of the full text of the
consent agreement package can be
obtained at https://www.ftc.gov/newsevents/commission-actions.
You can file a comment online or on
paper. For the Commission to consider
your comment, we must receive it on or
before March 8, 2023. Write
‘‘HomeAdvisor, Inc.; Docket No. 9407’’
on your comment. Your comment—
including your name and your state—
will be placed on the public record of
this proceeding, including, to the extent
practicable, on the https://
www.regulations.gov website.
Because of heightened security
screening, postal mail addressed to the
Commission will be subject to delay. We
strongly encourage you to submit your
comments online through the https://
www.regulations.gov website.
If you prefer to file your comment on
paper, write ‘‘HomeAdvisor, Inc.;
Docket No. 9407’’ on your comment and
on the envelope, and mail your
comment to the following address:
Federal Trade Commission, Office of the
Secretary, 600 Pennsylvania Avenue
NW, Suite CC–5610 (Annex P),
Washington, DC 20580.
Because your comment will be placed
on the publicly accessible website at
https://www.regulations.gov, you are
solely responsible for making sure your
comment does not include any sensitive
or confidential information. In
particular, your comment should not
include sensitive personal information,
such as your or anyone else’s Social
E:\FR\FM\06FEN1.SGM
06FEN1
DDrumheller on DSK120RN23PROD with NOTICES
7726
Federal Register / Vol. 88, No. 24 / Monday, February 6, 2023 / Notices
Security number; date of birth; driver’s
license number or other state
identification number, or foreign
country equivalent; passport number;
financial account number; or credit or
debit card number. You are also solely
responsible for making sure your
comment does not include sensitive
health information, such as medical
records or other individually
identifiable health information. In
addition, your comment should not
include any ‘‘trade secret or any
commercial or financial information
which . . . is privileged or
confidential’’—as provided by section
6(f) of the FTC Act, 15 U.S.C. 46(f), and
FTC Rule § 4.10(a)(2), 16 CFR
4.10(a)(2)—including competitively
sensitive information such as costs,
sales statistics, inventories, formulas,
patterns, devices, manufacturing
processes, or customer names.
Comments containing material for
which confidential treatment is
requested must be filed in paper form,
must be clearly labeled ‘‘Confidential,’’
and must comply with FTC Rule
§ 4.9(c). In particular, the written
request for confidential treatment that
accompanies the comment must include
the factual and legal basis for the
request and must identify the specific
portions of the comment to be withheld
from the public record. See FTC Rule
§ 4.9(c). Your comment will be kept
confidential only if the General Counsel
grants your request in accordance with
the law and the public interest. Once
your comment has been posted on the
https://www.regulations.gov website—as
legally required by FTC Rule § 4.9(b)—
we cannot redact or remove your
comment from that website, unless you
submit a confidentiality request that
meets the requirements for such
treatment under FTC Rule § 4.9(c), and
the General Counsel grants that request.
Visit the FTC website at https://
www.ftc.gov to read this document and
the news release describing the
proposed settlement. The FTC Act and
other laws the Commission administers
permit the collection of public
comments to consider and use in this
proceeding, as appropriate. The
Commission will consider all timely
and responsive public comments it
receives on or before March 8, 2023. For
information on the Commission’s
privacy policy, including routine uses
permitted by the Privacy Act, see
https://www.ftc.gov/site-information/
privacy-policy.
Analysis of Proposed Consent Order To
Aid Public Comment
The Federal Trade Commission
(‘‘FTC’’ or ‘‘Commission’’) has accepted,
VerDate Sep<11>2014
18:51 Feb 03, 2023
Jkt 259001
subject to final approval, an agreement
containing a consent order from
HomeAdvisor, Inc. (‘‘HomeAdvisor’’).
The proposed consent order has been
placed on the public record for 30 days
for receipt of comments by interested
persons. Comments received during this
period will become part of the public
record. After 30 days, the Commission
will again review the agreement and the
comments received and will decide
whether it should withdraw from the
agreement and take appropriate action
or make final the agreement’s proposed
order.
This matter involves HomeAdvisor’s
advertising and sale of its membership
and leads products to home service
providers. Count I of the complaint
alleges HomeAdvisor violated section
5(a) of the FTC Act by disseminating
advertisements and marketing that
misrepresent that HomeAdvisor’s leads:
(1) concern individuals who intend to
hire service providers soon, (2) will
match the types and locations of work
selected by service providers, and (3)
concern individuals who intentionally
sought out HomeAdvisor’s assistance in
finding a service provider. Count II of
the complaint alleges that HomeAdvisor
disseminated false and unsubstantiated
advertisements and marketing
concerning the rate at which
HomeAdvisor’s leads convert into
paying jobs. Count III of the complaint
alleges that HomeAdvisor
misrepresented that the first month of
its mHelpDesk add-on subscription was
free.
The proposed consent order includes
injunctive relief that addresses these
alleged violations and contains
provisions designed to prevent
HomeAdvisor from engaging in similar
acts and practices in the future. The
proposed consent order also requires
HomeAdvisor to pay up to $7,200,000 to
the Commission to be used for
consumer redress. Provision I prohibits
HomeAdvisor from making false and/or
unsubstantiated representations
regarding its products. Provision I.A
prohibits HomeAdvisor from
misrepresenting central characteristics
of its leads, including that the leads
concern individuals who intend to hire
service providers soon, that they
concern projects that will match service
providers’ stated task type and location
preferences, and that they concern
individuals who submitted a request
concerning home services directly to
HomeAdvisor. Provision I.A also
prohibits HomeAdvisor from
misrepresenting products as free.
Provision I.B prohibits HomeAdvisor
from making any representation
regarding the rate at which
PO 00000
Frm 00053
Fmt 4703
Sfmt 4703
HomeAdvisor’s leads convert into
paying jobs unless that representation is
non-misleading and supported by data
or written materials in HomeAdvisor’s
possession when the claim is made.
Provision II requires HomeAdvisor to
pay up to $7,200,000 to the Commission
for purpose of consumer redress, with
an initial payment of $4,448,000.
Provision III provides for a redress
program that would administer two
redress funds. The first fund would
make payments of up to $30 to service
providers identified as affected by the
practices at issue in Counts I and II of
the complaint. The second fund would
make payments of up to $59.99 to
service providers identified as affected
by the practices at issue in Count III of
the complaint and who submit a claim
for payment. The Commission or its
designee will administer the redress
programs, with expenses to be paid from
the redress funds. Provision IV contains
language necessary to aid in the
enforceability by the Commission of any
debt accruing pursuant to this proposed
order, including, but not limited to, in
any subsequent bankruptcy litigation.
Provision V requires HomeAdvisor to
provide the Commission with customer
information necessary to administer the
redress program.
Provisions VI through IX of the
proposed order relate to compliance
reporting and monitoring. Provision VI
is an order acknowledgment and
distribution provision requiring
HomeAdvisor to acknowledge the order,
to provide the order to current and
future owners, managers, business
partners, certain employees, and to
obtain an acknowledgement from each
such person that they received a copy of
the order. Provision VII requires
HomeAdvisor to submit a compliance
report ninety days after the order is
entered, and to promptly notify the
Commission of corporate changes that
may affect compliance obligations.
Provision VIII requires HomeAdvisor to
maintain, and upon request make
available, certain compliance-related
records. Provision IX requires
HomeAdvisor to provide additional
information or compliance reports, as
requested. Provision X states that the
proposed order will remain in effect for
20 years, with certain exceptions.
The purpose of this analysis is to aid
public comment on the proposed order.
It is not intended to constitute an
official interpretation of the complaint
or proposed order, or to modify in any
way the proposed order’s terms.
E:\FR\FM\06FEN1.SGM
06FEN1
Federal Register / Vol. 88, No. 24 / Monday, February 6, 2023 / Notices
By direction of the Commission.
April J. Tabor,
Secretary.
[FR Doc. 2023–02383 Filed 2–3–23; 8:45 am]
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Centers for Disease Control and
Prevention
BILLING CODE 6750–01–P
[60 Day–23–1027; Docket No. CDC–2023–
0008]
UNITED STATES AGENCY FOR
GLOBAL MEDIA
Proposed Data Collection Submitted
for Public Comment and
Recommendations
USAGM Performance Review Board
Members
AGENCY:
United States Agency for
Global Media.
AGENCY:
The Centers for Disease
Control and Prevention (CDC), as part of
its continuing effort to reduce public
SUMMARY: The United States Agency for
burden and maximize the utility of
Global Media (USAGM) announces the
government information, invites the
members of its SES Performance Review general public and other federal
Board (PRB).
agencies the opportunity to comment on
a continuing information collection, as
ADDRESSES: USAGM Office of Human
required by the Paperwork Reduction
Resources, 330 Independence Ave. SW,
Act of 1995. This notice invites
Washington, DC 20237.
comment on a proposed information
FOR FURTHER INFORMATION CONTACT:
collection project titled Generic
Ellona Fritschie, Senior Advisor, at
Clearance for the Collection of
efritschie@usagm.gov or (202) 382–7500. Qualitative Feedback on Agency Service
Delivery. This Generic Clearance is
SUPPLEMENTARY INFORMATION: In
accordance with 5 U.S.C. 4314, USAGM designed to garner qualitative customer
and stakeholder feedback in an efficient,
publishes this notice announcing the
timely manner, in accordance with the
individuals who will serve as members
Administration’s commitment to
of the PRB for a term of one year. The
improving service delivery.
PRB is responsible for: (1) reviewing
DATES
: CDC must receive written
performance appraisals and ratings of
comments
on or before April 7, 2023.
Senior Executive Service and Senior
ADDRESSES: You may submit comments,
Level members; and (2) making
recommendations on other performance identified by Docket No. CDC–2023–
0008 by either of the following methods:
management issues, such as pay
• Federal eRulemaking Portal:
adjustments, bonuses, and Presidential
www.regulations.gov.
Follow the
Rank Awards. The names, position
instructions for submitting comments.
titles, and appointment types of each
• Mail: Jeffrey M. Zirger, Information
member of the PRB are set forth below:
Collection Review Office, Centers for
1. Yolanda Lopez, Voice of America Director, Disease Control and Prevention, 1600
Limited Term SES
Clifton Road NE, MS H21–8, Atlanta,
2. Grant Turner, Chief Financial Officer,
Georgia 30329.
Career SES
Instructions: All submissions received
3. James Reeves, Chief Information Officer,
must include the agency name and
Career SES
Docket Number. CDC will post, without
change, all relevant comments to
Dated: January 9, 2023.
www.regulations.gov.
Armanda Matthews,
Please note: Submit all comments
Program Support Specialist, U.S. Agency for
through the Federal eRulemaking portal
Global Media.
(www.regulations.gov) or by U.S. mail to
[FR Doc. 2023–02396 Filed 2–3–23; 8:45 am]
the address listed above.
BILLING CODE 8610–01–P
FOR FURTHER INFORMATION CONTACT: To
request more information on the
proposed project or to obtain a copy of
the information collection plan and
instruments, contact Jeffrey M. Zirger,
Information Collection Review Office,
Centers for Disease Control and
Prevention, 1600 Clifton Road NE, MS
H21–8, Atlanta, Georgia 30329;
ACTION:
DDrumheller on DSK120RN23PROD with NOTICES
Centers for Disease Control and
Prevention (CDC), Department of Health
and Human Services (HHS).
ACTION: Notice with comment period.
SUMMARY:
Notice.
VerDate Sep<11>2014
18:51 Feb 03, 2023
Jkt 259001
PO 00000
Frm 00054
Fmt 4703
Sfmt 4703
7727
Telephone: 404–639–7570; Email: omb@
cdc.gov.
SUPPLEMENTARY INFORMATION: Under the
Paperwork Reduction Act of 1995 (PRA)
(44 U.S.C. 3501–3520), federal agencies
must obtain approval from the Office of
Management and Budget (OMB) for each
collection of information they conduct
or sponsor. In addition, the PRA also
requires federal agencies to provide a
60-day notice in the Federal Register
concerning each proposed collection of
information, including each new
proposed collection, each proposed
extension of existing collection of
information, and each reinstatement of
previously approved information
collection before submitting the
collection to the OMB for approval. To
comply with this requirement, we are
publishing this notice of a proposed
data collection as described below.
The OMB is particularly interested in
comments that will help:
1. Evaluate whether the proposed
collection of information is necessary
for the proper performance of the
functions of the agency, including
whether the information will have
practical utility;
2. Evaluate the accuracy of the
agency’s estimate of the burden of the
proposed collection of information,
including the validity of the
methodology and assumptions used;
3. Enhance the quality, utility, and
clarity of the information to be
collected;
4. Minimize the burden of the
collection of information on those who
are to respond, including through the
use of appropriate automated,
electronic, mechanical, or other
technological collection techniques or
other forms of information technology,
e.g., permitting electronic submissions
of responses; and
5. Assess information collection costs.
Proposed Project
Generic Clearance for the Collection
of Qualitative Feedback on Agency
Service Delivery (OMB Control No.
0920–1027, Exp. 8/31/2023)—
Extension—National Center for HIV/
AIDS, Viral Hepatitis, STD, and TB
Prevention (NCHHSTP), Centers for
Disease Control and Prevention (CDC).
Background and Brief Description
CDC is requesting a three-year
Extension for the data collection titled
Generic Clearance for the Collection of
Qualitative Feedback on Agency Service
Delivery (OMB Control No. 0920–1027).
During the past three-year approval
period, eight GenICs consisting of 750
responses have been submitted for
approval. The collections included web-
E:\FR\FM\06FEN1.SGM
06FEN1
Agencies
[Federal Register Volume 88, Number 24 (Monday, February 6, 2023)]
[Notices]
[Pages 7725-7727]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-02383]
-----------------------------------------------------------------------
FEDERAL TRADE COMMISSION
[Docket No. 9407]
HomeAdvisor, Inc.; Analysis of Proposed Consent Order to Aid
Public Comment
AGENCY: Federal Trade Commission.
ACTION: Proposed consent agreement; request for comment.
-----------------------------------------------------------------------
SUMMARY: The consent agreement in this matter settles alleged
violations of Federal law prohibiting unfair or deceptive acts or
practices. The attached Analysis of Proposed Consent Order to Aid
Public Comment describes both the allegations in the complaint and the
terms of the consent order--embodied in the consent agreement--that
would settle these allegations.
DATES: Comments must be received on or before March 8, 2023.
ADDRESSES: Interested parties may file comments online or on paper by
following the instructions in the Request for Comment part of the
SUPPLEMENTARY INFORMATION section below. Please write ``HomeAdvisor,
Inc.; Docket No. 9407'' on your comment and file your comment online at
https://www.regulations.gov by following the instructions on the web-
based form. If you prefer to file your comment on paper, please mail
your comment to the following address: Federal Trade Commission, Office
of the Secretary, 600 Pennsylvania Avenue NW, Suite CC-5610 (Annex P),
Washington, DC 20580.
FOR FURTHER INFORMATION CONTACT: Sophia Calder[oacute]n (206-220-4486),
Bureau of Consumer Protection, Federal Trade Commission, 600
Pennsylvania Avenue NW, Washington, DC 20580.
SUPPLEMENTARY INFORMATION: Pursuant to Section 6(f) of the Federal
Trade Commission Act, 15 U.S.C. 46(f), and FTC Rule Sec. 2.34, 16 CFR
2.34, notice is hereby given that the above-captioned consent agreement
containing a consent order to cease and desist, having been filed with
and accepted, subject to final approval, by the Commission, has been
placed on the public record for a period of 30 days. The following
Analysis to Aid Public Comment describes the terms of the consent
agreement and the allegations in the complaint. An electronic copy of
the full text of the consent agreement package can be obtained at
https://www.ftc.gov/news-events/commission-actions.
You can file a comment online or on paper. For the Commission to
consider your comment, we must receive it on or before March 8, 2023.
Write ``HomeAdvisor, Inc.; Docket No. 9407'' on your comment. Your
comment--including your name and your state--will be placed on the
public record of this proceeding, including, to the extent practicable,
on the https://www.regulations.gov website.
Because of heightened security screening, postal mail addressed to
the Commission will be subject to delay. We strongly encourage you to
submit your comments online through the https://www.regulations.gov
website.
If you prefer to file your comment on paper, write ``HomeAdvisor,
Inc.; Docket No. 9407'' on your comment and on the envelope, and mail
your comment to the following address: Federal Trade Commission, Office
of the Secretary, 600 Pennsylvania Avenue NW, Suite CC-5610 (Annex P),
Washington, DC 20580.
Because your comment will be placed on the publicly accessible
website at https://www.regulations.gov, you are solely responsible for
making sure your comment does not include any sensitive or confidential
information. In particular, your comment should not include sensitive
personal information, such as your or anyone else's Social
[[Page 7726]]
Security number; date of birth; driver's license number or other state
identification number, or foreign country equivalent; passport number;
financial account number; or credit or debit card number. You are also
solely responsible for making sure your comment does not include
sensitive health information, such as medical records or other
individually identifiable health information. In addition, your comment
should not include any ``trade secret or any commercial or financial
information which . . . is privileged or confidential''--as provided by
section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule Sec.
4.10(a)(2), 16 CFR 4.10(a)(2)--including competitively sensitive
information such as costs, sales statistics, inventories, formulas,
patterns, devices, manufacturing processes, or customer names.
Comments containing material for which confidential treatment is
requested must be filed in paper form, must be clearly labeled
``Confidential,'' and must comply with FTC Rule Sec. 4.9(c). In
particular, the written request for confidential treatment that
accompanies the comment must include the factual and legal basis for
the request and must identify the specific portions of the comment to
be withheld from the public record. See FTC Rule Sec. 4.9(c). Your
comment will be kept confidential only if the General Counsel grants
your request in accordance with the law and the public interest. Once
your comment has been posted on the https://www.regulations.gov
website--as legally required by FTC Rule Sec. 4.9(b)--we cannot redact
or remove your comment from that website, unless you submit a
confidentiality request that meets the requirements for such treatment
under FTC Rule Sec. 4.9(c), and the General Counsel grants that
request.
Visit the FTC website at https://www.ftc.gov to read this document
and the news release describing the proposed settlement. The FTC Act
and other laws the Commission administers permit the collection of
public comments to consider and use in this proceeding, as appropriate.
The Commission will consider all timely and responsive public comments
it receives on or before March 8, 2023. For information on the
Commission's privacy policy, including routine uses permitted by the
Privacy Act, see https://www.ftc.gov/site-information/privacy-policy.
Analysis of Proposed Consent Order To Aid Public Comment
The Federal Trade Commission (``FTC'' or ``Commission'') has
accepted, subject to final approval, an agreement containing a consent
order from HomeAdvisor, Inc. (``HomeAdvisor''). The proposed consent
order has been placed on the public record for 30 days for receipt of
comments by interested persons. Comments received during this period
will become part of the public record. After 30 days, the Commission
will again review the agreement and the comments received and will
decide whether it should withdraw from the agreement and take
appropriate action or make final the agreement's proposed order.
This matter involves HomeAdvisor's advertising and sale of its
membership and leads products to home service providers. Count I of the
complaint alleges HomeAdvisor violated section 5(a) of the FTC Act by
disseminating advertisements and marketing that misrepresent that
HomeAdvisor's leads: (1) concern individuals who intend to hire service
providers soon, (2) will match the types and locations of work selected
by service providers, and (3) concern individuals who intentionally
sought out HomeAdvisor's assistance in finding a service provider.
Count II of the complaint alleges that HomeAdvisor disseminated false
and unsubstantiated advertisements and marketing concerning the rate at
which HomeAdvisor's leads convert into paying jobs. Count III of the
complaint alleges that HomeAdvisor misrepresented that the first month
of its mHelpDesk add-on subscription was free.
The proposed consent order includes injunctive relief that
addresses these alleged violations and contains provisions designed to
prevent HomeAdvisor from engaging in similar acts and practices in the
future. The proposed consent order also requires HomeAdvisor to pay up
to $7,200,000 to the Commission to be used for consumer redress.
Provision I prohibits HomeAdvisor from making false and/or
unsubstantiated representations regarding its products. Provision I.A
prohibits HomeAdvisor from misrepresenting central characteristics of
its leads, including that the leads concern individuals who intend to
hire service providers soon, that they concern projects that will match
service providers' stated task type and location preferences, and that
they concern individuals who submitted a request concerning home
services directly to HomeAdvisor. Provision I.A also prohibits
HomeAdvisor from misrepresenting products as free. Provision I.B
prohibits HomeAdvisor from making any representation regarding the rate
at which HomeAdvisor's leads convert into paying jobs unless that
representation is non-misleading and supported by data or written
materials in HomeAdvisor's possession when the claim is made.
Provision II requires HomeAdvisor to pay up to $7,200,000 to the
Commission for purpose of consumer redress, with an initial payment of
$4,448,000. Provision III provides for a redress program that would
administer two redress funds. The first fund would make payments of up
to $30 to service providers identified as affected by the practices at
issue in Counts I and II of the complaint. The second fund would make
payments of up to $59.99 to service providers identified as affected by
the practices at issue in Count III of the complaint and who submit a
claim for payment. The Commission or its designee will administer the
redress programs, with expenses to be paid from the redress funds.
Provision IV contains language necessary to aid in the enforceability
by the Commission of any debt accruing pursuant to this proposed order,
including, but not limited to, in any subsequent bankruptcy litigation.
Provision V requires HomeAdvisor to provide the Commission with
customer information necessary to administer the redress program.
Provisions VI through IX of the proposed order relate to compliance
reporting and monitoring. Provision VI is an order acknowledgment and
distribution provision requiring HomeAdvisor to acknowledge the order,
to provide the order to current and future owners, managers, business
partners, certain employees, and to obtain an acknowledgement from each
such person that they received a copy of the order. Provision VII
requires HomeAdvisor to submit a compliance report ninety days after
the order is entered, and to promptly notify the Commission of
corporate changes that may affect compliance obligations. Provision
VIII requires HomeAdvisor to maintain, and upon request make available,
certain compliance-related records. Provision IX requires HomeAdvisor
to provide additional information or compliance reports, as requested.
Provision X states that the proposed order will remain in effect for 20
years, with certain exceptions.
The purpose of this analysis is to aid public comment on the
proposed order. It is not intended to constitute an official
interpretation of the complaint or proposed order, or to modify in any
way the proposed order's terms.
[[Page 7727]]
By direction of the Commission.
April J. Tabor,
Secretary.
[FR Doc. 2023-02383 Filed 2-3-23; 8:45 am]
BILLING CODE 6750-01-P