FTC asks “Do consumers notice class action notices?”

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Do consumers notice consumer class action notices? That’s one of the topics that experts will discuss at an upcoming FTC workshop on issues related to communicating with consumers about class actions.

Set for October 29, 2019, in Washington, DC, Consumers and Class Action Notices: An FTC Workshop will feature panelists from a wide range of perspectives exploring what the research suggests about notice methods, claims rates, and redress – and what can be done to improve consumer participation in class action settlements.

To enhance our understanding of the issues, FTC staff just released a report summarizing the findings of two studies involving consumer class actions. In the first study, we looked at a sample of more than 140 cases and analyzed how variables like notice methods and compensation amounts affected consumer claims and check-cashing rates. A second staff study explored consumer perceptions of class action notices, including whether people understood their options.

Consumer class actions have been an issue of long-standing interest to the FTC. For more than a decade, the agency’s Class Action Fairness Project has worked to ensure that settlements in consumer protection and competition matters provide appropriate benefits to consumers. To that end, the FTC has coordinated with state, federal, and private groups to gather information; looked at the impact of legislative and class action rule changes; and – where appropriate – filed amicus briefs.

Free and open to the public, Consumers and Class Action Notices will take place at the FTC’s Constitution Center conference facility, 400 7th Street, S.W., in Washington. We’ll post the agenda soon, but in the meantime, we welcome your comments, including additional consumer perception evidence. We’ll keep the record open until November 22, 2019.

Can’t make it to DC on October 29th? The event will be webcast.
 

Comments

How would we know about our class action suits if you don't publicize on USA Today, WAPO, etc?
I know now but who else gets your newsletter?
mike worsham

Hi.  The subject of the workshop on October 29th is consumer class action lawsuits brought by private lawyers, not the FTC.  But you've raised a good point about any consumer-related actions.

Yes, I am very interested in hearing the results of this topic and I look forward to the webcast. Thanks!

Recently I received emails and letters related to different class action lawsuits. Those notices are difficult to read (and I'm a writer with a college degree) and it's nearly impossible to understand if I'm one of those "affected." Just to say my name may have been stolen via a cyber intrusion automatically qualifies me for redress doesn't feel right. I use a credit monitoring service and my info hasn't show up on any dark websites or been misused at all as I write this. Even so, I wonder if I do qualify for compensation. Until these notices are written in plain English, and simply laying out what happened, why I'm being notified, whether I am eligible to participate (a.k.a. do I qualify for any money?) and what simple steps (without giant hoops) that I need to take to get answers, I'll continue to ditch them in my real or figurative "garbage cans."

I ditto that. However, I just recieved a check for over $1000.00 for a settlement that I didn't even know was going on. I thought, "How cool is this!?" And had no hard feelings toward the corporation that had been taken to court and settled. In other words, that Corp knew who they wronged and paid their dues. Hassle free as it should be.
Crystal

I never respond to emails concerning class action ,I feel someone is fishing for my information-There has to be a better way of communication when it comes to notices There needs to be letters sent to speak to someone live with a phone number .I'm very interested in the webinar.

It's my understanding that the "lawyers" that handle these get 95% of the money so whats the point

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