Yellow Pages

Raleigh, NC: (Mar-03-08) A multi-state lawsuit was brought against Directory Billing LLC, which does business as USDIrectory.com, alleging that the company misled small businesses into signing up for yellow pages listings. The suit claimed that the company sent checks to small businesses for small amounts, usually $3.50. Upon cashing the checks, the businesses were automatically enrolled in a yellow pages ad service and charged between $30 and $50 a month. The Attorney General Roy Cooper's office stated that several businesses deposited the checks without knowing that they were agreeing to enroll in the program, as the disclosure on the back of the check was small.

Sources stated that a settlement had been reached in the suit, in which Directory Billing agreed to pay $400,000 to 26 states, including North Carolina, to resolve allegations. Additionally, as a result of the settlement, Directory Billing will stop using checks to market its services and send letters to all current customers giving them a chance to cancel service and get a partial refund. Cooper said that the company's marketing tricked small businesses into signing up for something they didn't even want, and the settlement will make the company change its ways and give customers a chance to get their money back. [TRIANGLE BUSINESS JOURNAL: YELLOW PAGES]

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Published on Mar-4-08