Priceline.com, Travelocity, Cingluar settle New York adware suit

Priceline.com, Travelocity.com and Cingular Wireless have settled cases with New York State that accused them of using an adware firm to advertise on consumers' PCs.

The settlements were a result of the state Internet Bureau’s investigation of Direct Revenue LLC, which found that the firm allegedly installed adware onto millions of computers worldwide. The state attorney general’s office said that Cingular, Travelocity and Priceline.com each used Direct Revenue software to deliver advertisements.

As a result of the settlement, the three companies must pay $35,000 each to New York State and cease using adware programs that violate the settlements.

Freshly minted State Attorney General Andrew Cuomo praised the settlement in a statement released Monday.

"Advertisers will now be held responsible when their ads end up on consumers’ computers without full notice and consent," he said. "Advertisers can no longer insulate themselves from liability by turning a blind eye to how their advertisements are delivered or by placing ads through intermediaries, such as media buyers."

New York State announced a suit against Direct Revenue last April, claiming the firm installed millions of pop-up advertisements on consumers’ PCs.

Click here to email Online Editor Frank Washkuch Jr.

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