Home Depot to pay $750K for violating California law on gift cards
Home Depot will pay $750,000 to settle claims that the retail giant violated the state's law on gift cards, prosecutors in Sonoma County announced Friday.
District Attorney Carla Rodriguez said that her office, along with district attorneys' offices in Contra Costa, Los Angeles and Ventura counties settled with the retailer. As part of the stipulated judgement, the company will pay $750,000 in civil penalties, fees and restitution.
"Our office seeks to ensure that businesses comply with laws that are enacted to protect consumers," Rodriguez said in a statement.
State law entitles consumers to redeem cash from any gift card with a cash value under $10. The law also states that gift cards do not have an expiration date.
According to an investigation, "numerous" Home Depot stores did not let customers cash out gift cards that had less than $10 in value.
Prosecutors said the retailer cooperated with the investigation.
Along with the $750,000 fine, the retailer has been ordered to program registers to automatically cash out gift cards with balances under $10, to train employees about redeeming gift cards and to place notices in stores and on their website about the law.
Customers can check their gift card balances by visiting the retailer's website.
