OTTAWA, June 14, 2006 -- Over 2,000 Canadians will receive a refund, as part of a settlement reached between the Competition Bureau and three companies involving deceptive ordinary selling price claims.
New York-based Media Syndication Global (MSG), Havas S.A. (headquartered in Paris), and Canadian-based Interactive Marketing Group ULC have cooperated fully with the Competition Bureau. Havas and MSG are acting expeditiously to refund the affected CIBC Visa customers.
Promotional offers on Bushnell (8x21) Binoculars and Mark of Fitness Blood Pressure Monitors were inserted in CIBC monthly Visa statements between 2002 and 2004. A Bureau investigation revealed that the regular prices claimed in the bill inserts were overstated.
Customers who purchased the Mark of Fitness Blood Pressure Monitor will receive a $50 refund, while those who purchased the Bushnell (8x21) Binoculars will receive a $30 refund, plus applicable sales taxes. These partial refunds are calculated as the difference between the regular price claimed and the amount paid by the customer. CIBC has undertaken to assist in the refunds to customers. Cheques will be sent automatically, and no action is required by those consumers to claim their refund.
"The Bureau is committed to ensuring that consumers are not deceived by companies using inflated reference prices for the sale and promotion of their products," said Raymond Pierce, Deputy Commissioner of Competition.
As part of the 10-year consent agreement registered with the Competition Tribunal, MSG and Havas have agreed to:
issue a partial refund to each CIBC customer who purchased the Bushnell (8x21) Binoculars and/or the Mark of Fitness Blood Pressure Monitors between August 1, 2002 and November 2, 2004;
insert a Restitution Notice in the monthly billing statement to all CIBC Visa credit card holders who received the initial mailing at issue, informing them of the refund they will receive;
publish a Corrective Notice in Canadian national newspapers and relevant Canadian advertising trade magazines; and
Interactive Marketing Group ULC (which was not involved in the promotional offers) and MSG will develop and implement a comprehensive Corporate Compliance Program which will promote compliance with the Competition Act.
The Competition Bureau is an independent law enforcement agency that promotes and maintains fair competition so that all Canadians can benefit from competitive prices, product choice and quality service. It oversees the application of the Competition Act, the Consumer Packaging and Labelling Act, the Textile Labelling Act and the Precious Metals Marking Act.
For media enquiries, please contact:
Maureen McGrath
Communications Advisor
Competition Bureau
(819) 953-8982 or (613) 296-2187 (cell)
For general enquiries, please contact:
Information Centre
Competition Bureau
(819) 997-4282
1-800-348-5358
