Sunday, February 27, 2005

Blockbuster - FRAUD and DECEPTION???

If you are late returning a Blockbuster movie - ALL THEY DO IS CHARGE YOU FOR THE FULL PRICE OF THE MOVIE.

 

NEW JERSEY SUES TO STOP BLOCKBUSTER AD CAMPAIGN

Alleges 'End of Late Fees' Claim Is 'Fraudulent and Deceptive'

The New Jersey state attorney gene has filed a lawsuit against Blockbuster

charging that the rental chain's "End of Late Fees" advertising campaign is "fraudulent and deceptive."

 

The ads, however, do not tell consumers that they will be charged the purchase price for the video if they don't return it within seven days or that they'll be charged a restocking fee if they return the video within 30 days, according to the suit. Ads do not "prominently disclose" that some franchised stores continue to charge late fees, the suit says. New Jersey officials are asking for restitution from Blockbuster to customers whose overdue rentals were converted to a sale, or those who were charged a restocking fee or a late fee by a non-participating store. The suit also asks for as much as $10,000 in civil penalties for each violation.

The lawsuit, filed on behalf of residents of New Jersey, where there are 170 Blockbuster stores, takes aim at every step of the retailer's program. The suit notes a "very small, limited disclaimer" on the TV ads that says: "Participating stores only. See store for complete details." Radio ads offer the disclaimer "Details at participating Blockbuster stores."

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