NM GROUP FINED $85K FOR MAIL ORDER VIOLATIONS

WASHINGTON--Neiman Marcus Group has agreed to pay an $85,000 fine to settle government allegations that it violated mail order regulations, the Federal Trade Commission said Thursday.
The FTC accused the retailer of failing to notify mail order customers of various options, including refunds, when merchandise was not shipped within 30 days, as required under the FTC's Mail/Telephone Order Rule. The FTC also said that in cases where refunds were sought by customers, Neiman's violated the rule by not promptly responding to the requests.
Companies are required under federal law to offer customers the choice of either accepting a delayed delivery or canceling an order. The law also requires companies to tell customers that if they don't reply to a notice of a delayed shipment, then the order will be canceled.
A spokesman for Neiman's said Thursday, "We do admit we were in violation of the law. It was a minor violation."

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