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Business ProfileforACTIVE Network, LLC
Additional business information
On October 18, 2022, the Consumer Financial Protection Bureau (CFPB) sued the online event registration company ACTIVE Network (ACTIVE), which is headquartered in Plano, TX.
The CFPB's lawsuit describes how ACTIVE automatically and unlawfully enrolled families into its discount club by using digital duplicity. Consumers, many of whom just thought they were registering for a community race or event, ended up being enrolled into a costly membership club.
Over the past decade, ACTIVE has driven up enrollments in Active Advantage through the use of dark patterns. Dark patterns are hidden tricks or trapdoors that companies build into their websites to get consumers to inadvertently click links, sign up for subscriptions, or purchase products or services. Additionally, while Active Advantage memberships have a 30-day free "negative option trial membership," negative option trial memberships automatically begin charging the membership fees at the end of the trial period.
The CFPB alleges that ACTIVE violated the Consumer Financial Protection Act by enrolling consumers in and charging them for discount club memberships without their knowledge, consent, or a full understanding of the material terms of the transaction. ACTIVE had multiple opportunities to stop its illegal practices given high rates of credit card chargebacks, numerous customer complaints, and ACTIVE's own data revealing that a significant number of consumers had been misled into Active Advantage enrollments. Nevertheless, ACTIVE continued to trick consumers with dark patterns and surprise charges. Specifically, the CFPB's lawsuit alleges that ACTIVE harmed consumers by:
* Duping event registrants into discount club memberships and sneaking charges onto users' credit cards
* Failing to notify Active Advantage members of fee increases
The CFPB is seeking injunctive relief, monetary relief for consumers, disgorgement of unjust gains, and a civil money penalty.
The matter is pending. For more details go to: https://www.consumerfinance.gov/about-us/newsroom/cfpb-sues-payment-platform-used-by-ymca-camps-race-organizers-for-junk-fee/
To view a copy of the CFPB complaint filed go to: https://files.consumerfinance.gov/f/documents/cfpb_active-network-llc_amended-complaint_2022-10.pdf
At-a-glance
Business Details
This is a multi-location business.
- Headquarters
- 717 N Harwood St STE 2500, Dallas, TX 75201-6527
- BBB File Opened:
- 9/17/2014
- Years in Business:
- 25
- Business Started:
- 8/1/1999
- Business Incorporated:
- 6/9/2014
- Type of Entity:
- Limited Liability Company (LLC)
- Alternate Business Name
- Active Advantage
- Business Management
- Philip Petescia, Vice President
- Katelyn Jeffs
- Ms. Joy Ning, Customer Service Representative
- Contact Information
Principal
- Katelyn Jeffs
Customer Contact
- Philip Petescia, Vice President
- Katelyn Jeffs
- Angie Wang
- Ms. Joy Ning, Customer Service Representative
- Additional Contact Information
Phone Numbers
- (469) 291-0300Other Phone
- (866) 561-0647Other Phone
Email Addresses
- Complaint
- (469) 291-0300
Customer Complaints
1,111 Customer Complaints
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File a ComplaintMost Recent Customer Complaint
04/21/2024
- Complaint Type:
- Product Issues
- Status:
- Answered
Customer Reviews
145 Customer Reviews
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Most Recent Customer Review
Mike C
07/31/2024
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