Attorney General Pam Bondi News Release
August 12, 2014
Contact: Whitney Ray
Phone: (850) 245-0150
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Aug. 16 Deadline Approaches for Consumers to File a Claim in Penny Auction Settlement

TALLAHASSEE, Fla. – Attorney General Pam Bondi is encouraging customers of Arrow Outlet, LLC, a penny auction website, to file a claim before Aug. 16. Earlier this summer, Attorney General Bondi’s Office obtained $425,000 for consumer restitution through a settlement with Arrow Outlet, resolving allegations that Arrow used programming code to deceive consumers throughout the country. The online penny auction site allowed users to purchase and place bids on various consumer goods. The complaint filed in Leon County alleged that Arrow engineered an "auto-bid script" that artificially inflated the number of bids required to win a given auction. Allegedly, the auto-bid script was designed to place bids at certain intervals, thereby prolonging the auction, increasing the number of bids purchased and used, and preventing actual users from winning the items.

The settlement agreement prohibits the defendant from, among other things, creating, administering, running, purchasing or in any way using a penny auction website to generate income. The lawsuit was dismissed upon execution of the settlement agreement.

The claims administration instructions and form can be found here:$file/Arrow.pdf