Lawyer’s Fee: $125,000 In Gift Cards

California attorney Neil B. Fineman brought a class action lawsuit against apparel store Windsor Fashions. The store had been collecting personal information from credit card purchases in violation of California’s Civil Code §1747.08(a)(2).

The store settled: Fineman would receive $125,000 in fees, but aggrieved customers would get a $10 gift card, not cash. So Los Angeles Superior Court Judge Brett Klein issued an order stating that Fineman would receive his fee in the form of 12,500 $10 gift cards.

The settlement was not likely to deter Windsor Fashions – after all even their affordable dresses are well above the $10 gift card’s value.  Maybe this might herald a shift to cash and away from glorified coupons.

(h/t Megan McArdle)