DEBRA A. VALENTINE
General Counsel
RAYMOND E. MCKOWN, Bar No. 150975
JENNIFER LARABEE, Bar No. 163989
Federal Trade Commission
10877 Wilshire Blvd., Ste. 700
Los Angeles, California 90024
(310) 824-4343 ph.
(310) 824-4380 fax
Attorneys for Plaintiff
FEDERAL TRADE COMMISSION
UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA
WESTERN DIVISION
FEDERAL TRADE COMMISSION, Plaintiff,
v.
QBI, INC., a California Corporation, and
JEFFREY ALLEN DONOHUE, individually and as an officer of QBI, Inc.,
Defendants.
No. ________
COMPLAINT FOR INJUNCTIVE AND OTHER EQUITABLE RELIEF
Plaintiff, the Federal Trade Commission, ("FTC" or "Commission") for
its complaint alleges:
1. The FTC brings this action under Section 13(b) of the Federal Trade
Commission Act ("FTC Act"), 15 U.S.C. § 53(b), to secure preliminary
and permanent injunctive relief, restitution, rescission or
reformation of contacts, disgorgement, and other equitable relief for
the defendants' unfair or deceptive acts or practices in violation of
Section 5(a) of the FTC Act, 15 U.S.C. § 45(a).
JURISDICTION AND VENUE
2. This Court has subject matter jurisdiction pursuant to 15 U.S.C.
§§ 45(a), and 53(b), and 28 U.S.C. §§ 1331, 1337(a) and 1345.
3. Venue is proper under 15 U.S.C. § 53(b) and 28 U.S.C. § 1391(b) and
(c).
SNIPPETS:
Federal Trade Commission
UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA
FEDERAL TRADE COMMISSION, Plaintiff,
QBI, INC., a California Corporation, and JEFFREY ALLEN DONOHUE, individually and as an
COMPLAINT FOR INJUNCTIVE AND OTHER EQUITABLE RELIEF
The FTC brings this action under Section 13of the Federal Trade Commission Act, 15 U.S.C. §
The Commission is charged, inter alia, with enforcement of Section 5of the FTC Act, 15 U.S.C.
Its principal place of business is 3711 Lomita Boulevard, Suite 190, Torrance, California
At all times relevant to this complaint, the defendants have maintained a substantial course
Since at least January 1996, defendants QBI and Donohue have marketed and sold a promotion to
The promotion centers on a travel voucher that defendants represent can be redeemed by a
The defendants sell the vouchers to the businesses for approximately $10 each.
The rack rate charges are higher than the typical rates available to consumers in the
Neither the vouchers nor other marketing materials disclose certain other charges consumers
The vouchers further represent that customers must post a $100 per person deposit to process
In numerous instances since at least 1996, in connection with the advertising, marketing,
In light of the representations made to consumers as set forth in paragraph 15, defendants'
Therefore, defendants' representation set forth in paragraph 18 is false and misleading and
Award plaintiff such preliminary injunctive and ancillary relief as may be necessary to avert
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