HOW NOT TO WIN $500,000 | Originally broadcast Feb. 13, 2009 on CBC-TV
About Reader's Digest sweepstakes settlements in the U.S.
Reader's Digest sweepstakes marketing tactics have come under fire in the United States. Lawmakers in Washington, D.C. and 32 states forced the magazine to pay $6 million to customers who fell for their tactics. In addition to the payout, mailings now have larger print and a sweepstakes fact box.

textClick here for a side-by-side comparison of how the U.S. and Canadian rules are presented

The U.S. Reader's Digest also has to remind anyone in writing who spends more than $1000 in a six-month period that they don't have to buy to win.

textRead the U.S. Attorney General's Settlement with Reader's Digest

Here are further U.S. state settlements:

textRead Washington state's settlement notice with Reader's Digest

textRead New Jersey's settlement notice with Reader's Digest

textRead Oregon settlement notice with Reader's Digest

As a result of the U.S. settlement, Reader's Digest in its 2008 Annual Report says that its new regulations "have significantly reduced the effectiveness of sweepstakes as a marketing technique.”

textClick here to read Reader’s Digest U.S. 2008 Annual Report

A class action lawsuit has been filed in Canada, claiming Reader's Digest makes "misleading representations" in their mail.

textClick here to read the Statement of Claim

CBC does not endorse and is not responsible for the content of external sites — links will open in new window.
Posted on February 13, 2009 CommentBookmark, Email & Share
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