Feds Sue MyLife.com Over Deceptive Practices

The suit was filed on behalf of the Federal Trade Commission (FTC), a consumer protection agency. Seena Gressin, an FTC attorney, in a blog post about the case wrote: “If you're looking for a job, an apartment, or a loan, there's a good chance that someone will be looking at you closely. They may search your name online or order a background report."

They're looking for red flags, Gressin said, and MyLife.com promoted its reports to employers, landlords and others to persuade them to subscribe.

Minor traffic citations misrepresented

"If the person had no criminal, traffic, or sex offender records, the report typically suggested the person had such records,” Gressin said. In many cases the people being searched had only minor traffic citations, so the reports were deceptive and in violation of the FTC Act.

The suit was filed in federal court in Los Angeles, where the Delaware corporation has its main place of business. The firm also has an office in a London suburb, its website says.

The suit alleges that MyLife.com did not have any procedures to assure the accuracy of its background reports and to verify subscribers’ identities. It alleges that until 2019, a subscriber who wished to cancel or disable the automatic renewal of a subscription was required to call MyLife's customer-service line. Many people could not reach an agent and had subscriptions renewed against their will; others who tried to cancel “were similarly frustrated, being met with a sales pitch to renew rather than assistance in cancelling."

The suit asks a judge to enter a permanent injunction to prevent future violations of the FTC Act and other relevant statutes by the company, and that MyLife pay civil penalties and give relief to injured consumers. It says Tinsley, the CEO, directs the firm's billing, marketing, advertising and subscriptions and knows that MyLife “continues to use certain business practices” it agreed to stop to settle previous lawsuits.

AARP's efforts to reach someone at the firm for comment about the suit on Tuesday were unsuccessful, yielding only an email saying: “This note is to inform you that we have received your technical support inquiry and will respond within 24-72 hours."