Internetnews.com reported the settlement of a class action suit on 27 May 2003. Originally brought against Bonzi Software on 4 December 2002, the suit accused Bonzi of using its
banner advertisements to deceptively imitate
Windows computer alerts, alerting the user that their
IP address is being broadcast. When clicked, including on the "close" button of the
dialog box, the advertisements led the user to marketing web pages for affiliated products, including Bonzi Software's own
InternetAlert and
InternetBoost. In the settlement, Bonzi Software agreed to modify their ads so that they looked less like Windows dialog boxes and more like actual advertisements. On February 18, 2004, the
Federal Trade Commission released a statement indicating that Bonzi Software, Inc. was ordered to pay US$75,000 in fees, among other aspects, for violating the
Children's Online Privacy Protection Act by collecting personal information from children under the age of 13 with BonziBuddy. The original complaint additionally asserts that protection provided by the US$49 InternetAlert is limited, failing to meet the product's advertised claims. ==Legacy==