Webloyalty tricked consumers, reaches $5.2 million settlement in NY

Webloyalty, a leading discount club marketer that partners with popular retail sites to offer memberships to consumers -- including Ticketmaster, Orbitz and Shutterfly -- agreed to refund $5.2 million to New Yorkers who the state's attorney general says were duped by its hidden fees.

An investigation by Andrew Cuomo's office says the company tricked online shoppers by presenting them with a cash-back or discount offer at the end of a transaction. That they were agreeing to transfer credit card information in exchange for redeeming the offer was buried in fine print and cluttered text. Since they were not asked to enter those details upon enrollment, many consumers often accepted the offer, unaware they were doing so, or unaware they would be charged.