Judge Tosses Proposed McAfee Settlement
Suit alleged McAfee tricked customers into buying "PerfectSpeed". A federal judge refused to approve a proposed settlement to a class action lawsuit that claimed McAfee and an advertiser conspired to trick consumers into buying services from an unrelated third party, and then gave out their banking information to complete those purchases.
U.S. District Judge Lucy Koh said the settlement agreement "does not pass muster," and said she found it impossible to differentiate between class members who actually downloaded the advertiser's software and those who did not, Courthouse News Service reported.
The 2010 suit, filed in the U.S. District Court for the Northern District of California, says that consumers who purchase security products directly from McAfee's website are presented with a misleading pop-up display [that] leads them to unwittingly enroll in subscription-based services offered by a third party, Arpu Inc.
According to the suit, McAfee transmits customer credit/debit card and billing information to Arpu Inc. and receives an undisclosed fee for each consumer.
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