Paypal Settles Lawsuit
Paypal agreed to improve many of its customer notification and awareness practices as it settled a suit with 28 states in the US. In the settlement Paypal did not admit wrongdoing, agreed to $3.5 million settlement fund, and “make several changes to its online payment service, including clearly and conspicuously disclosing all contractual terms and financial obligations. [In addition], when PayPal members prepare to make a purchase, they will be presented with a clear choice whether to pay by credit card, debit card or electronic funds transfer.” According to one Attorney General, “Under this agreement, consumers will no longer have to click through multiple hyperlinks to get critical information about their financial transactions.” (See SPI, AP, Reuters).
