Blockbuster Busted for Late Fee Confusion

(AP) - Blockbuster Video says it will provide more information about its "no late fee" policy to forgetful movie watchers.

The nation's largest movie-rental chain has also agreed to pay
$630,000 to stop a lawsuit by 47 states that say people were misled by the new policy. The money reimburses states for the cost of preparing the suit.

From now on, receipts will show the amount customers would owe
for failing to return a movie within a seven-day grace period. Stores will also post more signs and provide more detailed information.

After the new policy went into effect, customers were charged
the retail price of the movie -- minus rental charges -- if it was
more than seven days late.

Blockbuster's C-E-O says customers will get refunds for those
charges. Customers who were charged with buying a rented
movie or game or were charged a restocking fee are eligible for
full refunds.
- Refunds cover charges on products rented on or after Jan. 1.
- Customers can get complaint forms at participating stores or
by writing to Blockbuster, 1201 Elm St., Suite 2100, Dallas, TX
75270, Attention: Vice President Steve Krumholz Sr.
- Deadline for submitting forms is April 28, or within seven
days of discovering late-fee charges.
- Of 509 Blockbusters in Texas, 425 participate in the "No Late
Fees" program are covered by the settlement. Some franchise stores
do not.