PhonepayPlus Executive (the ‘Executive’) received 53 complaints regarding a text prize competition subscription service operating on shortcodes 66333 and 63666. The service cost £2 per week and gave subscribers the chance to win a weekly prize, typically £500, by answering a general knowledge question sent to them by text. To join the service, consumers registered with one of the Information Provider’s promotional partners, selected this service and then opted-in. Originally, the opt-in was effected on-line but by February 2009 the opt-in was by means of a text message.
Complainants stated that the service was unsolicited and that they had received unsolicited chargeable messages. During the course of its investigation the Tribunal was also concerned about issues in relation to the service being misleading. In addition, complainants stated that the ‘STOP’ command had not worked properly. PhonepayPlus raised the following potential breaches under the Code:
- Paragraph 5.2 – Legality
- Paragraph 5.4.1a – Fairness (Misleading)
- Paragraph 5.8 – Contact details
- Paragraph 7.6.6c – Competition rules
- Paragraph 7.12.3a-c – Promotional material subscription requirements
- Paragraph 7.12.6a – Subscription termination
The Tribunal did not uphold the alleged breaches of paragraphs 7.6.6c and 7.12.6a but upheld the remainder. The revenue generated by the service fell within the mid range of Band 2 (£250,000-£500,000). The Tribunal considered the case to be significant, issued a Formal Reprimand and imposed a fine of £50,000. The Tribunal ordered the Information Provider to seek compliance advice in respect of the issues identified by the Executive in relation to this service and its promotion within two weeks from the date of publication of this adjudication, such advice to be implemented to the satisfaction of the Executive within two weeks of receipt. The Tribunal also ordered that claims for refunds are to be paid by the Information Provider for the full amount spent by complainants, except where there is good cause to believe that such claims are not valid.
- Service Provider – MX Telecom Limited, London
- Information Provider – Multiplex Media Limited, Nottingham
- Service Title and Type – Mobile Cash Quiz (promoted under the brands ‘Sure to Win’ and ‘Mobile Candy’)
- Breaches upheld against – Multiplex Media Limited, Nottingham
