Hugh Pickens writes "Techflash reports that Classmates.com has agreed to pay up to $9.5 million to its users to settle a lawsuit that accused the social network of sending deceptive emails that made people believe their old friends from high school were reaching out to connect — only to discover, after paying for a membership, that their long-lost buddies were nowhere to be found. Lawyers for the plaintiffs asserted that Classmates had 'profited tremendously from their false or deceptive e-mail subject lines and related merchandising tactics.' Under terms of the llc.view results from: dictionary | thesaurus | encyclopedia | all reference | the web
share this: settlement, Classmates.com members who upgraded to premium memberships after receiving one of the 'guestbook' emails will be able to choose either a $3 cash payout or a $2 credit toward the future acquirement or renewal of a Classmates.com membership. Classmates.com is also among companies that have come under scrutiny for their use of 'post-transaction marketing' tactics — in which interchange are given added offers as part of the online payment process, periodically in such a way that they aren't aware they're also signing up to pay more. A november 11 11 2009 US Senate council report said Classmates made more than $70 million through its nearness with post-transaction merchantry firms. The Classmates Media unit posted $58.8 million in overhead expenses profit for 2009, up more than 24 percent from the anterior year, making Classmates 'the most profitable social network in the world,' by the numbers to CEO Mark Goldston."

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