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In the interest of speed and timeliness, this story is fed directly from the Associated Press newswire and may contain spelling or grammatical errors.

Settlement protects Yahoo! users from unwanted solicitations

Thursday October 02, 2003
By MATT SMITH
Associated Press Writer

ALBANY, N.Y. (AP) - Internet users who log on through Yahoo! will now be protected from unwanted e-mail and telemarketing campaigns.

A settlement announced Wednesday by New York Attorney General Eliot Spitzer requires the Sunnyvale, Calif-based Internet company to allow users to opt out of receiving e-mail marketing solicitations, and it prohibits Yahoo from telemarketing to those who do so.

``It is neither appropriate nor legally permissible for a company to compile a database of personal information through an online registration process and then attempt to use the information for telemarketing purposes to target consumers who have stated that they do not want to receive solicitations,'' Spitzer said.

Yahoo officials, in a prepared statement, said the company ``will implement enhancements to our communications with our consumers about Yahoo products and services, which is consistent with our long-standing commitment to provide our millions of loyal users with clear and comprehensive notice and choice.''

The investigation into Yahoo started after it e-mailed users in March 2002 to inform them the company was revamping its marketing program. Yahoo told customers then it would begin marketing to all registered users after 60 days unless consumers informed the company they did not want to receive solicitations.

Under terms of Wednesday's settlement, Yahoo also will not telemarket to consumers who supplied their telephone number as part of their account information, and who declined to receive solicitations under the company's previous marketing program.

The company also will be required to pay $75,000, and provide users 30 days' notice prior to the effective date of any changes to its marketing program.

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