LAS VEGAS, NV — (Marketwired) — 06/25/13 — LiveDeal, Inc. (NASDAQ: LIVE) announced today that the company recently finalized a settlement in the class action lawsuit Global Education Services, Inc. v. LiveDeal, Inc., et al. Final approval of the settlement occurred on May 27, 2013, marking the formal end of the litigation. Dismissal of the lawsuit is pending.
“While we believe the allegations in the lawsuit were without merit, we-re thrilled to have reached this favorable settlement,” said Jon Isaac, President and CEO of LiveDeal. “We remain firmly committed to our longstanding ethical and transparent advertising standards.”
Global Education Services, Inc., the lead plaintiff, filed the complaint on June 6, 2008 challenging the company-s disclosure practices under its “activator check” promotion. Specifically, the plaintiff claimed that consumers were not adequately informed that cashing “activator checks” would result in the purchase of the company-s advertising services. The complaint was brought on behalf of residents of Washington state who cashed an activator check after June 6, 2004. LiveDeal discontinued the promotional program in October 2006.
The parties have now mutually agreed to a settlement. As is typical, the lawsuit was conditionally certified for settlement purposes only without concession by either party as to the legal propriety of class certification.
LiveDeal, Inc. provides marketing solutions that boost customer awareness and merchant visibility on the Internet. LiveDeal recently launched two new business lines under new management after a period of re-evaluating the company-s sales program, products, distribution methods, and vendor programs. In November 2012, LiveDeal commenced the sale of marketing tools that help local businesses manage their online presence under the company-s Velocity Local brand, which LiveDeal refers to as online presence marketing. Previously, in August 2012, LiveDeal commenced sourcing local deal and activities to strategic publishing partners under its LiveDeal® brand, which the company refers to as promotional marketing. LiveDeal continues to actively develop, revise, and evaluate these products and services and its marketing strategies and procedures. For more information, visit .
This press release contains “forward-looking” statements that are based on present circumstances and on LiveDeal-s predictions with respect to events that have not occurred, that may not occur, or that may occur with different consequences and timing than those now assumed or anticipated. Such forward-looking statements, including any statements regarding the plans and objectives of management for future operations or products, the market acceptance or future success of our products, and our future financial performance, are not guarantees of future performance or results and involve risks and uncertainties that could cause actual events or results to differ materially from the events or results described in the forward-looking statements.
Forward-looking statements are made only as of the date of this release and LiveDeal does not undertake and specifically declines any obligation to update any forward-looking statements. Readers should not place undue reliance on these forward-looking statements.
Contact:
Tim Matula
Investor Relations
800.977.6038
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