Federal Register / Vol. 65, No. 211 / Tuesday, October 31, 2000 / Notices 64951

will be available for inspection and

copying at its principal office in

accordance with Section 4.9(b)(6)(ii) of

the Commission’s Rules of Practice (16

CFR 4.9(b)(6)(ii)).

Analysis of Proposed Consent Order To

Aid Public Comment

The Federal Trade Commission has

accepted, subject to final approval, an

agreement containing a consent order

from WebTV Networks, Inc. (‘‘WNI’’).

The proposed consent order has been

placed on the public record for thirty

(30) days for receipt of comments by

interested persons. Comments received

during this period will become part of

the public record. After thirty (30) days,

the Commission will again review the

agreement and the comments received,

and will decide whether it should

withdraw from the agreement or make

final the agreement’s proposed order.

WNI advertises and promotes the

WebTV system, consisting of a set-top

box and an Internet service which,

together, allows users to connect to the

Internet through a telephone line and a

television. WNI licenses the set-top box

technology to various companies,

including Sony, Philips Electronics, and

Mitsubishi, which manufacture and sell

the boxes. WNI sells the Internet service

for a flat monthly fee.

This matter concerns allegedly false

and deceptive advertising for the

WebTV system. The Commission’s

proposed complaint alleges that WNI

falsely claimed that:

• The WebTV system provides access

to all of the Internet’s content, including

all of the entertainment and information

available on the Internet. In fact, WebTV

users are unable, for example, to access

files on Web sites that use popular

formats or programming languages,

including technologies for Web site

audio, video, interactivity, and

multimedia used for online

entertainment and information

communication.

• The WebTV set-top box is

equivalent to a personal computer with

respect to its Internet-related

performance. In fact, in contrast to a

computer, WebTV users are unable, for

example, to download, store, or run

software available on the Internet;

display certain Web pages or play

certain Web pages or play certain Web

files; or open email attachments in

certain common formats.

• WNI’s upgrades to the WebTV

system keep users current with the

latest Internet technology. In fact, those

upgrades have failed to provide certain

commonly used Internet technologies

for audio, video, interactivity, and

multimedia.

The complaint also alleges that, in

advertising the total cost of using the

WebTV system, WNI failed to disclose

adequately that a significant percentage

of U.S. consumers will incur long

distance telephone toll charges while

connected to the Internet through the

WebTV Internet service. The complaint

alleges that this is a deceptive practice.

The proposed consent order contains

provisions designed to prevent WNI

from engaging in similar acts and

practices in the future.

Part I of the proposed order prohibits

the three alleged false representations,

as well as any false representation

related to access to Internet content or

functionality of any Internet access

product or service.

Part II of the proposed order prohibits

WNI from making any representation

about the cost of any Internet access

product or service unless it discloses

certain material information. If using

such product or service to access the

Internet may result in telephone toll

charges, this fact must be disclosed,

clearly and conspicuously, along with

how consumers can determine whether

they would be subject to these charges.

Part III of the proposed order requires

that WNI make clear and conspicuous

disclosures about long distance charges

on a log-on screen, dialog box, or other

similar device that appears prior to any

Internet access product dialing a

telephone number for which there is a

toll charge. The disclosures must state

the following: (a) That the user will or

will likely incur such a charge while

connected to the Internet access service;

(b) how the user can determine whether

in fact (s)he will incur such a charge,

and the amount of the charge; and (c) a

source of information about means, if

any, of avoiding the charge. Under this

provision, WNI must use a procedure

designed to ensure that the user

expressly consents to connecting on a

toll basis, before a toll charge is

incurred.

Part IV of the proposed order requires

that WNI clearly and conspicuously

disclose in its Terms of Service and

introductory kit, or the equivalent

documents it provides to new

subscribers, that users may incur toll

charges while using the Internet service,

if that is the case, and how users can

determine whether they would incur

these charges.

Part V of the proposed order requires

that WNI offer reimbursement to certain

former subscribers to its Internet service

for toll charges they incurred.

Subscribers eligible for reimbursement

are those who: (a) Incurred toll charges

before March 1, 1999, and within sixty

days of subscribing to the service; (b)

have not been previously reimbursed;

(c) canceled their subscription before

April 1, 1999, and within ninety days of

subscribing to the service; (d) identified

toll charges as a reason for canceling;

and (e) provide proof of the charges.

Eligible subscribers may receive

reimbursement for toll charges incurred

in the first two months of their

subscription. subscribers who cannot

provide phone bills as proof of the

charges would receive reimbursement

up to a maximum dollar amount, which

depends on the type of proof submitted.

Part VI of the proposed order requires

WNI to notify its advertising agencies,

manufacturers, and retailers to

discontinue making any of the

advertising claims prohibited by the

order. WNI must also set up, staff, and

refer consumers to a toll-free customer

service telephone number (or a similar

mechanism that is free to consumers)

that would handle inquiries regarding

telephone toll charges.

Part VII describes a consumer

education campaign that WNI must

undertake to inform consumers about

the limitations of Internet access devices

as compared to computers. The

campaign will include one-half page

advertisements in three national

magazines, as well as a brochure that

WNI will (a) distribute to retailers

selling WebTV set-top boxes for posting

in the stores and (b) post on its Web site.

Parts VIII through XI of the proposed

order are reporting and compliance

provisions. Part XII is a provision

‘‘sunsetting’’ the order after twenty

years, with certain exceptions.

The purpose of this analysis is to

facilitate public comment on the

proposed order. It is not intended to

constitute an official interpretation of

the agreement and proposed order or to

modify in any way their terms.

By direction of the Commission.

Donald S. Clark,

Secretary.

[FR Doc. 00–27952 Filed 10–30–00; 8:45 am]

BILLING CODE 6750–01–M

GENERAL SERVICES

ADMINISTRATION

DEPARTMENT OF DEFENSE

Office of Communications;

Cancellation of a Optional Form

AGENCY: General Services

Administration DoD.

ACTION: Notice.

SUMMARY: The Department of Defense

cancelled the following Optional Form

because of low usage:

64952 Federal Register / Vol. 65, No. 211 / Tuesday, October 31, 2000 / Notices

OF 87A, Attention—Electrostatic

Sensitive Devices (Label)

DATES: Effective October 31, 2000.

FOR FURTHER INFORMATION CONTACT: Ms.

Barbara Williams, General Services

Administration, (202) 501–0581.

Dated: October 10, 2000.

Barbara M. Williams,

Deputy Standard and Optional Forms

Management Officer.

[FR Doc. 00–27908 Filed 10–30–00; 8:45 am]

BILLING CODE 6820–34–M

GENERAL SERVICES

ADMINISTRATION

Privacy Act of 1974; System of

Records

AGENCY: General Services

Administration.

ACTION: Notice of a new system of

records subject to the Privacy Act of

1974.

SUMMARY: The General Service

Administration (GSA) is providing

notice of the establishment of a new

system of records, Personal Property

Sales Program (GSA/FSS–13). The new

system will collect information for use

in soliciting bids and awarding

contracts on sales of Federal personal

property. Information in the system will

be provided voluntarily by individuals

who wish to buy Federal personal

property through sales and auctions

conducted by GSA.

DATES: Comments on the new system

must be provided November 30, 2000.

The new system will become effective

without further notice on November 30,

2000 unless comments dictate

otherwise.

ADDRESSES: Address comments to:

Director, Personal Property Division

(FBP), Federal Supply Service, General

Services Administration, 1941 Jefferson

Davis Highway, Crystal Mall Building 4,

Arlington, VA 22202.

FOR FURTHER INFORMATION CONTACT:

Personal Property Division, Federal

Supply Service, at the above address, or

telephone (703) 305–7240.

GSA/FSS–13

SYSTEM NAME:

Personal Property Sales Program.

SYSTEM LOCATION:

System records are maintained by the

General Services Administration (GSA)

at several locations. A complete list of

the locations is available from the

System Manager.

INDIVIDUALS COVERED BY THE SYSTEM:

The system will include those

individuals who request to be added to

GSA bidders’ mailing lists, register to

bid on GSA sales, and enter into

contracts to buy Federal personal

property at sales conducted by GSA.

RECORDS IN THE SYSTEM:

The system contains information

needed to identify potential and actual

bidders and awardees, and transaction

information involving personal property

sales. System records include:

a. Personal information provided by

bidders and buyers, including names,

phone numbers, addresses, Social

Security Numbers, and credit card

numbers or other banking information;

and

b. Contract information on Federal

personal property sales, including

whether payment was received, the

form of the payment, notices of default,

and contract claim information.

AUTHORITY FOR MAINTAINING THE SYSTEM:

Sections 201 and 203 of the Federal

Property and Administrative Services

Act of 1949, as amended (40 U.S.C. 481

and 484), which assign responsibility

for the disposition of property to the

Administrator of General Services.

PURPOSE(S):

To establish and maintain a system of

records for conducting public sales of

Federal personal property by GSA.

ROUTINE USES OF THE SYSTEM RECORDS,

INCLUDING CATEGORIES OF USERS AND THEIR

PURPOSES FOR USING THE SYSTEM:

System information may be accessed

and used by authorized GSA employees

or contractors to prepare for and

conduct personal property sales,

administer sales contracts, perform

oversight or maintenance of the GSA

electronic systems and, when necessary,

for sales contract litigation or nonprocurement suspension or debarment

purposes.

Information from this system also may

be disclosed as a routine use:

a. In any legal proceeding, where

pertinent, to which GSA is a party

before a court or administrative body.

b. To a Federal, State, local, or foreign

agency responsible for investigating,

prosecuting, enforcing, or carrying out a

statute, rule, regulation, or order when

GSA becomes aware of a violation or

potential violation of civil or criminal

law or regulation.

c. To duly authorized officials

engaged in investigating or settling a

grievance, complaint, or appeal filed by

an individual who is the subject of the

record.

d. To the Office of Personnel

Management (OPM) or the General

Accounting Office when the information

is required for evaluation of the

program.

e. To a Member of Congress or his or

her staff on behalf of and at the request

of the individual who is the subject of

the record.

f. To an expert, consultant, or

contractor of GSA in the performance of

a Federal duty to which the information

is relevant.

g. To the GSA Office of Finance for

debt collection purposes (see GSA/

PPFM–7).

h. To the National Archives and

Records Administration (NARA) for

records management inspection

conducted under 44 U.S.C. 2904 and

2906.

POLICIES AND PRACTICES FOR STORING,

RETRIEVING, ACCESSING, RETAINING, AND

DISPOSING OF SYSTEM RECORDS:

STORAGE:

Information may be collected on

paper or electronically and may be

stored on paper or on electronic media,

as appropriate.

RETRIEVABILITY:

Records are retrievable by a personal

identifier or by other appropriate type of

designation approved by GSA.

SAFEGUARDS:

System records are safeguarded in

accordance with the requirements of the

Privacy Act, the Computer Security Act,

and OMB Circular A–130. Technical,

administrative, and personnel security

measures are implemented to ensure

confidentiality and integrity of the

system data stored, processed, and

transmitted. Paper records are stored in

secure cabinets or rooms. Electronic

records are protected by passwords and

other appropriate security measures.

RETENTION AND DISPOSAL:

Disposition of records is according to

the National Archives and Records

Administration (NARA) guidelines, as

set forth in the handbook, GSA Records

Maintenance and Disposition System

(OAD P 1820.2), and authorized GSA

records schedules.

SYSTEM MANAGER AND ADDRESS:

Director, Personal Property Division

(FBP), Federal Supply Service, General

Services Administration, 1941 Jefferson

Davis Highway, Crystal Mall Building 4,

Arlington VA 22202.

NOTIFICATION PROCEDURE:

Individuals may submit a request on

whether a system contains records about

them to the system manager at the above

address.