Thursday, June 08, 2006

FTC: Take-Two, Rockstar were 'Deceptive'



Next Generation has the full story:

The Federal Trade Commission today has deemed Take Two and Rockstar "deceptive" for their nondisclosure of "hot coffee" content in Grand Theft Auto: San Andreas.

ImageThe FTC and the two companies have reached a settlement agreement, which requires Take Two and Rockstar to "establish, implement, and maintain a comprehensive system reasonably designed to ensure that all content in an electronic game is considered and reviewed in preparing submissions to a rating authority."

The companies are also required to "clearly disclose" any content relative to the ESRB rating on all packaging, and they are restricted from misinterpreting games' ratings or content descriptors--demands that are surely expected from all publishers.

While no fines were dealt out this time around, if the companies violate the aforementioned guidelines of the settlement after the terms are finalized, Rockstar and Take Two would be "subject to civil penalties of up to $11,000 per violation if they violate the order."

When Take Two recalled Grand Theft Auto: San Andreas at the height of the fiasco, it incurred $24.5 million in related costs.

“Parents have the right to rely on the accuracy of the entertainment rating system,” said Lydia Parnes, director of the FTC’s Bureau of Consumer Protection. “We allege that Take-Two and Rockstar’s actions undermined the industry’s own rating system and deceived consumers. This is a matter of serious concern to the Commission, and if they violate this order, they can be heavily fined.”

When the FTC voted on the terms, they were met with a 5-0 vote in favor. The Commission will decide to make the measures final sometime after July 10.

Take Two is expected to release its Q2 fiscal results this afternoon.

0 Comments:

Post a Comment

<< Home