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GameStop Corporation Reaches $375,000 Settlement in Action Alleging Company Sold Used Console Games as Though They Were New

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Case ID: 2651 | Consumer Products | 02/10/2004

The parties have reached a tentative $375,000 national settlement in a class action filed against video game retailer GameStop Corporation on behalf of persons who purchased a video game from GameStop or affiliated stores between April 12, 1998, and August 1, 2003. The action alleges that the company sold games as new even though they had already been bought and returned to its stores under the stores' return policies, in violation of state consumer protection laws. Claims must be postmarked on or before November 1, 2003, to be considered valid.

Under the terms of the settlement, the company agreed to post a notice in its stores saying "All software for video game consoles may have been used and returned in accordance with (the store's) return policy." The company will provide a coupon for 5 percent off the price of any one game to customers who submit a receipt showing they bought a game at one of its stores during the following periods: video games purchased from GameStop or its affiliated stores between April 12, 1998, and August 1, 2003; from FuncoLand stores between June 15, 2000, and August 1, 2003; or from GameStop.com between April 12, 1998, and July 1, 2002.

Claim forms will be available at GameStop and FuncoLand stores. The coupon may be redeemed at any of the company's retail locations on games that are currently in stock in the store. Coupons may not be used on the company's website.

The software that was allegedly sold as new is designed to be played on the Dreamcast, Game Boy, Game Boy Advance, Game Cube, Genesis, Nintendo, Nintendo 64, Playstation, Playstation 2, Super Nintendo, X Box, Sega CD, Sega Saturn, Sega Game Gear, 3DO and NeoGeo video game consoles.

In order to receive a 5% off coupon, customers must complete and mail their claim form, along with an original video game receipt to: Coriell Claims Administrator, P.O. Box 1521, Grapevine, Texas 76099-1521.

The settlement will not be effective until the court grants it final approval. The court has scheduled a hearing on the matter for September 22, 2003.


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