Liberty Supply Co.

Also known as: Omni Services.

The FTC alleged that Liberty Supply Co. sent organizations unordered office supplies, obscured prices and quantities, and aggressively sought payment. A settlement banned telemarketing, and the FTC later issued refunds.

1Official action

2Business names used

Resolved. Refunded, settled, ceased operating, or the claim did not hold up. Kept for the record.

Identity

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Registrations: FTC v. Liberty Supply Co. (FTC federal court action, 2015)
Jurisdictions: United States (federal)

Telemarketing settlement followed office supply allegations

The FTC sued Liberty Supply Co., which the documents also identify as doing business as Omni Services, in December 2015. The agency alleged that callers approached churches, schools, and businesses with claims that the company was going out of business and offered low-priced office supplies. According to the complaint, callers quoted per-unit prices while selling only multi-unit quantities and did not disclose final prices, quantities, or shipping costs.

The FTC further alleged that the defendants sometimes sent merchandise and an invoice when a recipient had requested a purchase order. Consumers who paid could receive a claimed free gift together with more unordered merchandise and another invoice. The complaint says the defendants aggressively pursued payment and imposed return shipping or restocking costs, typically 15 percent of the invoice amount.

A stipulated final order entered in March 2017 banned Liberty Supply Co. and the other settling defendants from telemarketing and from misrepresenting products or services. It also imposed a $4.56 million judgment against Liberty Supply Co., Mia McCrary, and John B. Hart. That judgment was partially suspended based on specified asset surrenders.

In November 2018, the FTC mailed 1,251 checks totaling more than $647,000 to affected nonprofit organizations, churches, schools, small businesses, and volunteers.

What is not established: The supplied documents describe allegations resolved by a stipulated order. They do not report an admission by Liberty Supply Co.

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