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When you generate leads by offering free gifts, the gifts had better be free. That’s the lesson that Internet marketers can learn from United States of America (for the Federal Trade Commission), Plaintiff, v. Adteractive, Inc., et. al. CV-07-5940 SI, FTC File No. 072-304. On November 26, 2007, the parties to this lawsuit settled their dispute with Adteractive agreeing to pay $625,000 in civil penalties to get the FTC to dismiss the action.