Dun & Bradstreet has agreed to pay $5.7 million to resolve Federal Trade Commission allegations that the business credit reporting company repeatedly violated terms of a 2022 consent order designed to protect small businesses from deceptive practices.
The settlement addresses allegations that D&B failed to comply with specific requirements established in the 2022 order, including providing accurate pricing information to customers before automatic subscription renewals and preventing employees from making false claims about credit score improvements.
"Our signed orders are not suggestions," said Christopher Mufarrige, Director of the FTC's Bureau of Consumer Protection. "This settlement is another example of the Bureau's effort to reinvigorate its fraud program and protect small businesses from deceptive and unlawful conduct."
The latest enforcement action stems from a complaint filed by the Department of Justice upon referral from the FTC. According to the complaint, D&B violated the 2022 order in three key areas that directly affected business customers' ability to make informed purchasing decisions.
First, the company allegedly failed to accurately inform customers of their product's list price in notifications required before automatic subscription renewals. This practice led to customer overcharging when renewal prices differed from what customers expected to pay.
Second, D&B allegedly failed to prevent its employees from misrepresenting to potential customers that purchasing fee-based products would help improve their business credit scores. These false claims influenced business owners' decisions to purchase services that would not deliver the promised benefits.
Third, the company failed to retain required voice recordings of oral product offers for automatically renewed services, violating record-keeping requirements designed to ensure transparency and accountability in telemarketing practices.
The violations represent a pattern of conduct that the FTC first addressed in 2022, when it alleged that D&B deceived businesses about product value and failed to correct errors on business credit reports. The original 2022 order established specific requirements to prevent these practices.
That order required D&B to notify customers of material facts before automatically renewing paid subscriptions. It prohibited the company from using automatic renewal mechanisms to switch subscribers into more expensive products they did not order. The order also banned misrepresenting material facts about product prices or features and required the company to retain records of telemarketing calls.
Under the new settlement agreement, D&B will pay $3.7 million for consumer refunds and over $2 million in civil penalties for violating the 2022 order. The refund portion will provide direct relief to businesses that were overcharged or misled about product benefits.
The settlement also requires D&B to modify the existing 2022 order with additional compliance measures designed to prevent future violations. These enhanced requirements include maintaining a third-party quality assurance provider to monitor whether company telemarketing employees make misrepresentations to potential customers.
D&B must also implement and maintain a comprehensive compliance program that goes beyond the original order's requirements. This program will help ensure that company policies and employee training align with FTC requirements and consumer protection standards.
The case highlights the FTC's renewed focus on enforcing existing orders against companies that fail to comply with settlement terms. Rather than treating consent orders as mere suggestions, the commission is actively monitoring compliance and pursuing significant financial penalties when violations occur.
For businesses that rely on credit reporting services, the settlement underscores the importance of accurate pricing information and truthful marketing claims. Small businesses, which often depend on these services to understand their creditworthiness and improve their market position, need reliable information to make informed decisions about which products to purchase.
The enforcement action also demonstrates how regulatory agencies can use existing legal frameworks to address ongoing consumer protection issues. By building on the 2022 order rather than starting from scratch, the FTC was able to quickly address new violations while strengthening oversight mechanisms.
Businesses that use D&B services should review their subscription agreements and billing statements to ensure they are receiving the services they ordered at the prices they agreed to pay. Customers who believe they were overcharged or misled about product benefits may be eligible for refunds under the settlement agreement.
The settlement reflects broader FTC priorities under the current administration, which has emphasized protecting small businesses from predatory practices and ensuring that large corporations comply with existing regulatory requirements. This approach sends a clear message that consent orders carry real consequences and that repeat violations will face escalating penalties.