Michaels Pays $1.8 Million To Settle Deceptive Ad Charges

ROCHESTER, N.Y. (AP) – Michaels Stores, a Texas-based arts and crafts supplier, has agreed to pay $1.8 million to settle deceptive-advertising charges leveled by New York state regulators.

Under a settlement announced Monday with state Attorney General Eric Schneiderman, the Irving, Texas-based chain is paying $800,000 in civil penalties and contributing $1 million to hundreds of public schools around New York to help pay for arts and crafts supplies.

Schneiderman accused the chain of claiming to offer discounts over the past two years while charging full price.

Michaels operates 48 stores in New York state.

The attorney general says it began tracking Michaels’ offers of 50 percent discounts for custom framing in 2009. The company says it instituted a new advertising policy in May to comply with the attorney general’s findings.

(© Copyright 2011 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)


One Comment

  1. Harris says:

    Fraud and corruption is running rampant in our country (especially government) There is another disturbing story about a Dallas business owner, who was involved in a civil dispute and paid millions of dollars to lawyers, and when he objected to their fees, they had a “friendly” judge seize all of his property, without any notice or hearing, and essentially ordered him to be an involuntary servant to the lawyers. The business owner has been under this “servant” order for 10 months.

    http://www.lawinjustice.com has an explanation of this really disturbing case.. The frequency of instances like these seems to be increasing exponentially even though they get little media attention

    1. YRofTexas says:

      Harris, we appreciate your link, and it is good that you get the word out for your friend…but is this really the best forum for your spam (which is what it becomes when you over-do it)?

      Go set up an account on change.org and get a petition going for your friend. I think that would make better use of your resources.

    2. Jules says:

      The real issue is “little media attention” for me. Where is the media when it really counts?

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