"No more late fees" redux

Blockbuster eats crow ... and pays for the privilege.

As noted in These Very Pages last month, the state of New Jersey was leading the charge to get Blockbuster Video to knock it off with the incredibly deceptive "No late fees" campaign, which was really a "No late fees but we will charge you a 'restocking fee' instead and eventually shaft you with the inflated retail price of the DVD" campaign. A passel of other states jumped on board, and yesterday Blockbuster settled with forty-seven of those states - agreeing to get rid of the deceptive advertising, run point-of-sale and mass media ads explaining what the program really meant, and generally eat crow . They also have to refund all of the "restocking fees" to their downtrodden customer base, buy back the DVDs that were forcibly sold under the program, and pay the legal fees for the whole mess (about $630,000).

Late fees, indeed.

Noticeably absent from the settlement, however, was the state of New Jersey. They don't want a settlement that leaves Blockbuster sheepish and embarassed. They want blood, and they want it to pour out of Blockbuster until the company is a lifeless husk. Good on them, I say. You go, New Jersey!

Posted: Thu - March 31, 2005 at 08:42 AM