A New Jersey man sued Foot Locker over the store’s gift card policies, charging in court papers that they violate New Jersey’s consumer laws. In a lawsuit filed in Middlesex County, Sayreville resident Joseph Vona claims that Foot Locker’s use of so-called dormancy fees – a small fee charged to the gift card if it hasnt been used for a period of time – are contrary to a state law passed in 2006 under the auspices of the Consumer Fraud Act.
According to the complaint, New Jersey’s Gift Card Act prohibits companies from charging the fees until 24 months have passed between purchases, and limits the fees to $2 per month. The statute also requires notice of any fees to be written on the card or receipt in 10-point type or larger, a requirement Vona’s lawsuit claims Foot Locker violated by using type that was significantly smaller.
Among the terms and conditions on the back of the card – photocopied for the court filing – Foot Locker states it can deduct a service fee of $1.50 per month from the value of the card for non-use over 12 consecutive months. Vona purchased his $25 card from a Pathmark supermarket in Old Bridge, NJ, in April 2007.
Attorneys representing Foot Locker filed last week to have the case moved from state Superior Court to U.S. District Court. FL declined further comment on the case.
