NEW YORK (Legal Newsline) — New York Attorney General Eric T. Schneiderman announced Dec. 2 that MedRite Care LLC (MedRite) has agreed to settle for $100,000 after allegations it paid for positive reviews on consumer-review websites.
About $50,000 of the settlement will be suspended assuming MedRite fully complies with the agreement.
According to Schneiderman’s office, MedRite paid freelance writers and internet advertising companies to provide positive reviews about the company but never required the writers to visit MedRite facilities or disclose that they were paid for their services.
“Honesty and transparency are the hallmarks of consumer protection -- especially when it involves medical services,” Schneiderman said. “Consumers shouldn’t be misled when it comes to making important determinations about their health and well-being.”
Schneiderman notes the case against Medrite should send a message to businesses that New York will fight to uphold rules dealing with deceptive advertising practices on the internet.
“Those same rules also apply to other service industries, and I appreciate Carmel’s cooperation in this investigation,” Schneiderman said. “Their efforts to educate other companies about unlawful incentives in customer reviews will help create a more transparent industry.”