MBS agrees to OFT's terms
- Fri, 28 Mar 2008
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A company that makes billing software that installs itself on your PC and slows down your computer until you pay up has agreed to comply with terms set down by the Office of Fair Trading.
The software is commonly used on sites that host adult content, but after numerous complaints about the tactics it uses to get people to pay the OFT has decided to step in.
It has decreed that MBS must make it clear to anyone signing up to view any of the websites in question that they are entering into a contract and what will happen if payment is outstanding.
Web User first reported on the issue back in August last year after hearing a number of complaints from surfers who had inadvertently signed up to services protected by MBS's system.
MBS software means visitors don't have to reveal personal details or give credit card information up front. They simply download the billing software to gain instant access to the site, click to confirm they are over 18 and have read and understood terms and conditions.
However, if they don't opt out after a free trial then pop-up boxes asking for payment begin to appear on the PC. This led to complaints to Trading Standards from people claiming their PC had been "hijacked" by the software.
At the time, MBS managing director said there was nothing untoward about his company's software.
“MBS does not hijack anyone's PC - that would infer that MBS is acting in some way in which the consumer has not consented to, and this is not the case,” he told Web User.
The OFT has set out a series of terms that MBS must adhere to. The terms have been agreed by MBS and include a promise not to cause more than 20 pop-ups notifying users of liability for payment to appear on computers that have been used to access its websites.
MBS has also been asked to make it clear in the sign-up process that the consumer is entering into a contract and that pop-up bills will appear on consumers' computers when payment becomes due or is outstanding.
Mike Haley, OFT's head of Consumer Protection said: "These undertakings are the result of detailed negotiations between OFT and Micro Bill Systems Ltd. We believe that they achieve the right balance between protecting consumer interests without stifling innovation in the online market place."
Have you been affected by MBS software? What do you think of the OFT's terms? have your say in Web User's forums.
www.oft.gov.uk
www.microbillsys.com




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