The $35 Class-Action Buyout

March 6th, 2005 | Tags:

Late last year, Philip Morris USA, Inc sent out MasterCard Debit Cards (pre-loaded with $10) in promotion of some anniversary that the company is having. By sending in 125 Marlboro Miles an additional $25 would be added to the balance on the card. why are they doing this? The answer can be found in the last paragraph of the fine print of the Rewards Program Rules:

By use of this card, you agree that any and all disputes of any kind between you and the Rewards Program Provider (Philip Morris USA, Inc) and its directors, officers, employees assigns and affiliates will be resolved either through arbitration…or in a small claims tribunal in your state. By accepting these terms, you specifically waive the right to a jury trial; and you specifically waive the right to participate in any way in any class action, private attorney general action, or any collective action.

I don’t know if it will hold up in court, but it sounds like a damn good plan to me.

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