Eight claims administration companies must divulge information on class settlement notice and its effectiveness to the Federal Trade Commission.
The commission seeks data on which procedures the companies use to notify class members about settlements and which provide the best response rates, according to a Nov. 14 statementby the agency.
The commission also will implement two studies on consumer settlement participation.
An internet-based survey will gauge consumer comprehension of options provided in notices and implications of each option. The second study will determine what factors influence a consumer’s decision whether to participate in a class settlement.
The initiatives are ...