Students v Follett Higher Education Group, Daytona Beach Community College
Students Sue on Book Prices, Lawsuit Seeks $5 Million
Two Daytona Beach Community College students have sued Follett's, the nation's largest collegiate-bookstore chain and their school. The lawsuit is the first-of-its-kind and could affect thousands of college students who think they are overcharged for textbooks.
The class-action suit, filed in Orlando's federal court, alleges unfair and illegal pricing practices and seeks to recover at least $5 million in damages. It accuses the Follett Higher Education Group and DBCC of overcharging students pennies on each used-book sale and underpaying them when buying books back.
Though that may amount to only a few bucks each semester, the students argue that, when multiplied by thousands of students at each of the company's more than 750 bookstores, it adds up to millions.
Co-plaintiffs Thomas Rebman and Danny Brandner also say the college is "complicit" in the textbook company's actions because through DBCC's contract with Follett, it receives up to 10.5 percent of all bookstore revenues annually. In a recent 12-month period, the college reported collecting at least $400,000 in commissions from Follett's operations on the school's five campuses.
The suit -- filed in late September -- is unique, according to attorneys and industry experts, and may have implications for thousands of students nationwide if a judge allows it to go forward as a class action.
Textbook prices have rankled college students for years. Student-government coalitions and advocacy groups in 14 states launched a campaign in 2003 that included a push to persuade colleges to negotiate better prices with book publishers.
National Association of College Stores figures show used books accounted for $1.9 billion in sales during the 2004-05 academic year. New books accounted for $4.4 billion during that same time period.
"Mr. Rebman and our law firm are seeking to recover for every student who was overcharged . . . or was underpaid when they sold back their books," said a South Florida attorney who specializes in class-action suits.
The five-count complaint alleges breach of the contract between Follett and the college, violations of the Florida Deceptive and Unfair Trade Practices Act and a civil conspiracy.
Before the fall semester began in August, Rebman and Brandner say, their college bookstore illegally rounded up the prices of used books to the next 25-cent increment. Used books that should have cost $88.69 and $85.31 were sold to them for $88.75 and $85.50, respectively, they argue.
And when they sold books back to the store, they say the store paid them less than 50 percent of the new retail price as required by the contract. Examples cited in the suit include the return of a college-algebra book that cost $118.25 new but was bought back by the store for $56.25, or less than half its new price. In that transaction, the student should have received $59.12, the suit says.
A federal judge next will decide whether the student's claims should apply to a larger student body and can be certified as a class action.
The lawsuit seeks to represent Daytona Beach Community College students who think they were overcharged for textbooks.
