Update: Blockbuster late fees

To settle litigation filed by the attorneys general of 47 states, the Blockbuster video chain has agreed to take down the “No Late Fees” signs in its video stores. Customers will continue to pay extra to rent movies for longer than a week — but Blockbuster won’t call that a late fee. It will be […]

To settle litigation filed by the attorneys general of 47 states, the Blockbuster video chain

has agreed to take down the “No Late Fees” signs in its video stores. Customers will continue to pay extra to rent movies for longer than a week — but Blockbuster won’t call that a late fee.

It will be a “restocking” fee or something similar.

The company also agreed to make refunds available for some customers who paid under the earlier policy, and to pay $630,000 to the state AGs for their pains. New Hampshire and Vermont declined to join the action, with the head of consumer protection in New Hampshire explaining that there hadn’t been complaints from his state’s customers; New Jersey continues to pursue its own suit (see Mar. 10). (Michael D. Sorkin, “Blockbuster settles case over signs advertising no late fees”, St. Louis Post-Dispatch, Mar. 30; Peter Lewis, “State settles Blockbuster late-fee allegations”, Seattle Times, Mar. 30; “N.H. opts out of Blockbuster late fees settlement”, Portsmouth Herald News, Mar. 31).

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