Notice2022-00938
Dun & Bradstreet, Inc.; Analysis of Proposed Consent Order to Aid Public Comment
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
January 19, 2022
Issuing agencies
Federal Trade Commission
Abstract
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 draft complaint and the terms of the consent order--embodied in the consent agreement-- that would settle these allegations.
Full Text
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<title>Federal Register, Volume 87 Issue 12 (Wednesday, January 19, 2022)</title>
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[Federal Register Volume 87, Number 12 (Wednesday, January 19, 2022)]
[Notices]
[Pages 2788-2790]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-00938]
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FEDERAL TRADE COMMISSION
[File No. 172 3196]
Dun & Bradstreet, Inc.; Analysis of Proposed Consent Order to Aid
Public Comment
AGENCY: Federal Trade Commission.
ACTION: Proposed consent agreement; request for comment.
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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 draft 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 February 18, 2022.
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 ``Dun &
Bradstreet, Inc.; File No. 172 3196'' on your comment and file your
comment online at <a href="https://www.regulations.gov">https://www.regulations.gov</a> by following the
instructions on the web-based form. If you prefer to file your comment
on paper, mail your comment to the following address: Federal Trade
Commission, Office of the Secretary, 600 Pennsylvania Avenue NW, Suite
CC-5610 (Annex D), Washington, DC 20580, or deliver your comment to the
following address: Federal Trade Commission, Office of the Secretary,
Constitution Center, 400 7th Street SW, 5th Floor, Suite 5610 (Annex
D), Washington, DC 20024.
FOR FURTHER INFORMATION CONTACT: Dana C. Barragate, Attorney (216-263-
3402), Federal Trade Commission, East Central Region, 1111 Superior
Avenue, Suite 200, Cleveland, OH 44114-2507.
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 thirty (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 <a href="https://www.ftc.gov/news-events/commission-actions">https://www.ftc.gov/news-events/commission-actions</a>.
You can file a comment online or on paper. For the Commission to
consider your comment, we must receive it on or before February 18,
2022. Write ``Dun & Bradstreet, Inc.; File No. 172 3196'' on your
comment. Your comment--
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including your name and your state--will be placed on the public record
of this proceeding, including, to the extent practicable, on the
<a href="https://www.regulations.gov">https://www.regulations.gov</a> website.
Due to the COVID-19 pandemic and the agency's 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 <a href="https://www.regulations.gov">https://www.regulations.gov</a> website.
If you prefer to file your comment on paper, write ``Dun &
Bradstreet, Inc.; File No. 172 3196'' 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 D), Washington, DC 20580; or deliver your comment to the
following address: Federal Trade Commission, Office of the Secretary,
Constitution Center, 400 7th Street SW, 5th Floor, Suite 5610 (Annex
D), Washington, DC 20024. If possible, submit your paper comment to the
Commission by courier or overnight service.
Because your comment will be placed on the publicly accessible
website at <a href="https://www.regulations.gov">https://www.regulations.gov</a>, you are solely responsible for
making sure your comment does not include any sensitive or confidential
information. Your comment should not include sensitive personal
information, such as your or anyone else's Social 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 <a href="https://www.regulations.gov">https://www.regulations.gov</a> 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 <a href="http://www.ftc.gov">http://www.ftc.gov</a> to read this Notice and
the news release describing the proposed settlement. The FTC Act and
other laws that 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
that it receives on or before February 18, 2022. For information on the
Commission's privacy policy, including routine uses permitted by the
Privacy Act, see <a href="https://www.ftc.gov/site-information/privacy-policy">https://www.ftc.gov/site-information/privacy-policy</a>.
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 proposed
consent order (``Proposed Order'') from Dun & Bradstreet, Inc.
(``D&B''). The Proposed Order has been placed on the public record for
30 days to receive 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 D&B's sale of paid CreditBuilder and related
products (``CreditBuilder products''). D&B typically marketed
CreditBuilder products to small and mid-sized businesses (who are the
consumers in this matter) as a means to improve what D&B reports about
the business on its commercial credit reports. The FTC's proposed five-
count complaint challenges several of D&B's CreditBuilder sales and
renewal practices as deceptive, and also alleges that certain conduct
was unfair, all in violation of Section 5(a) of the Federal Trade
Commission Act (``FTC Act''), 15 U.S.C. 45(a).
The first four counts of the proposed complaint allege deceptive
acts or practices in violation of the FTC Act.
<bullet> First, the complaint alleges D&B's representations that a
business could use CreditBuilder products to have previously unreported
commercial payment experiences added to its credit report, and that D&B
would actively assist CreditBuilder customers in adding payment
experiences, were deceptive because, in numerous instances, customers
did not get payment experiences added, and D&B did not actively assist
the customer in adding payment experiences.
<bullet> Second, the complaint alleges D&B made false claims that
CreditBuilder products were required for D&B to conduct a background
check on the business or to complete its D&B report, including
providing the business with a full set of scores and ratings.
<bullet> Third, the complaint alleges that, in connection with
collecting updated payment information for CreditBuilder products
scheduled to renew, D&B sometimes misrepresented that D&B was
collecting payment for and renewing the product that the business
purchased the prior term, when, in fact, D&B was collecting payment
information to enroll the customer in a different product from the one
to which the customer previously subscribed.
<bullet> Fourth, the complaint alleges that when D&B collected
customer credit card information for payment, it failed to adequately
disclose practices that resulted in recurring and increasing charges,
including automatic billing.
In addition to the alleged deceptive marketing and renewal
practices, the complaint alleges in its fifth count that D&B engaged in
an unfair practice by reporting incorrect information on businesses'
credit reports while failing to provide those businesses with a
reasonable means to dispute such information and have inaccurate
information corrected. The proposed complaint alleges this conduct
caused or is likely to cause substantial injury to consumers that is
not outweighed by countervailing benefits to consumers or competition
and is not reasonably avoided by consumers themselves. Such practice
constitutes an unfair act or practice in violation of Section 5 of the
FTC Act.
The Proposed Order is designed to prevent D&B from engaging in
similar acts or practices in the future. It includes injunctive relief
to address these alleged violations.
<bullet> Part I prohibits future deceptive acts and practices
similar to those at issue in the complaint by prohibiting D&B from
misrepresenting:
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[cir] That using D&B's product is likely to allow a business to
have its previously unreported commercial payment experiences added to
its credit report;
[cir] That D&B will actively assist a business in adding its
unreported commercial payment experiences to its credit report;
[cir] That using D&B's product is likely to help a business build
or improve its credit report;
[cir] The ease with which information or payment experiences can be
added to a business's credit report; and
[cir] That D&B's product is needed when it is not, and that a
product will enable a prospective customer to have a ``complete'' file.
<bullet> Part I also features ancillary relief relating to the
challenged conduct by prohibiting misrepresentations relating to what
payment experiences customers can add, as well as to D&B's renewal and
charging practices.
<bullet> Part II provides additional specific relief relating to
D&B's renewal and charging practices for products covered under the
Proposed Order, to make sure that D&B makes clear disclosures about
renewals both before a customer subscribes and during the period of the
subscription.
<bullet> Parts III and IV require D&B to make certain disclosures
to potential customers of CreditBuilder products, so that those
potential customers can make better informed decisions about whether to
purchase the products.
<bullet> Part V sets out specific requirements for D&B to follow
when a business disputes information that D&B reports about it. The
requirements of this Part V apply generally and are not limited only to
D&B customers.
<bullet> Part VI requires D&B to offer refunds (or partial refunds)
to certain customers and former customers of CreditBuilder products.
Refund or partial refund eligibility under the Proposed Order will
depend on customers' specific circumstances and how they used or
attempted to use their CreditBuilder products.
<bullet> Part VII requires D&B to send notices to all current
customers of paid products covered under the Proposed Order that
automatically renew.
Parts VIII through XII are reporting and compliance provisions.
Part VIII mandates that D&B acknowledge receipt of the Proposed Order
and, for three years, distribute the Proposed Order to certain
employees and agents and secure acknowledgments from recipients of the
Proposed Order. Part IX requires D&B to submit compliance reports to
the FTC one year after the order's issuance and submit additional
reports when certain events occur. Part X requires that, for 10 years,
D&B creates certain records and retain them for at least 5 years. Part
XI provides for the FTC's continued compliance monitoring of D&B's
activity during the Proposed Order's effective dates. Part XII is a
provision ``sunsetting'' the Proposed Order after 20 years, with
certain exceptions.
The purpose of this analysis is to facilitate 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.
By direction of the Commission.
April J. Tabor,
Secretary.
[FR Doc. 2022-00938 Filed 1-18-22; 8:45 am]
BILLING CODE 6750-01-P
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</html>Indexed from Federal Register on January 19, 2022.
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