Legal Library: Cases and Proceedings

The owner and operator of Inmate Magazine Service, a company that scammed prisoners and their families by charging them for magazine subscriptions that either showed up late or not at all, will be permanently banned from selling or marketing magazine subscriptions.

Under the terms of a settlement with the Federal Trade Commission and the Florida Office of Attorney General, Roy Snowden, who owned and operated a number of businesses that operated as Inmate Magazine Service, will also be required to surrender the contents of multiple bank accounts.

The FTC and Florida’s complaint against Snowden and his companies alleged that they marketed magazine subscriptions to consumers serving prison sentences, as well as their families, offering to send the magazines to the prisoners while they were incarcerated and promising the magazines would arrive within 120 days.

In many cases, the magazines never arrived or were delivered far later than promised, with no notification to the consumers about delayed shipment or the chance to cancel their orders as required by the FTC’s Mail, Internet, or Telephone Order Merchandise Rule. The complaint also alleged that consumers were almost never able to contact the company to request refunds or status updates on orders.

An Atlanta-based debt collection company and its owners will be permanently banned from the debt collection industry under the terms of a settlement with the Federal Trade Commission. 

In its complaint against Critical Resolution Mediation, LLC, along with Brian Charles McKenzie and Tracy Dottrice Warren, the FTC alleged that the defendants and their agents threatened consumers with arrest and imprisonment and tried to collect debts that consumers did not actually owe.

The FTC’s complaint alleged that Critical Resolution’s collectors regularly posed as law enforcement officers, attorneys, mediators, or process servers, lending credence to their threats about supposed unpaid debts. In many cases, the defendants were attempting to collect on so-called “phantom” debt—debts that either were never owed—or debts that were no longer owed.

To settle FTC charges that its actions violated the antitrust laws, the Board of Dental Examiners of Alabama agreed to stop requiring on-site supervision by licensed dentists of alignment scans of prospective patients’ mouths seeking to address misaligned teeth or gaps between teeth. According to the complaint, the board amended a rule to prohibit dental hygienists and other non-dentist practitioners from performing scans inside a patient’s mouth without on-site dentist supervision. The complaint alleges that the Board unreasonably excluded from competition providers of teledentistry-based teeth alignment products and services, and that it did this without adequate active supervision from neutral state officials, in violation of the FTC Act.

In January 2020, three people and a telephone call center that helped Florida-based Grand Bahama Cruise Line LLC (GBCL) and others to make millions of illegal robocalls to consumers settled an FTC complaint and are permanently barred from making telemarketing robocalls. The FTC will litigate in federal court against GBCL and six other defendants involved in the massive operation, who have not agreed to settle. The FTC announced a settlement with the seven remaining defendants in September 2021.