Reader's Digest Nears Ch. 11 Exit With $27M FTC Claim Deal

Law360, New York (May 31, 2013, 2:22 PM EDT) -- Reader’s Digest Association Inc. asked a bankruptcy judge Thursday to approve a $27 million claim by the Federal Trade Commision over a deceptive marketing settlement that the company called one of the final hurdles in its emergence from bankruptcy.

The claim relates to an August 2012 FTC complaint and settlement over allegations that Reader’s Digest subsidiary Direct Entertainment Media Group Inc. and others falsely marketed the rapid, dramatic weight loss capabilities of the Ab Circle Pro exercise device.

The agency and Reader’s Digest have been at...
To view the full article, register now.

Documents

Related

Sections

Case Information

Case Title

RDA Holding Co., et al.


Case Number

7:13-bk-22233

Court

New York Southern

Nature of Suit

Date Filed

February 16, 2013

Law Firms

Companies

Government Agencies

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.