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Class Action Filed Against Wal-Mart [05/17/2006]
Illinois resident Ashlely Peach filed a class action suit against Wal-Mart on June 16, 2004, alleging the cashier at the Granite City Wal-Mart failed to return a $1.39 balance on her gift card. Peach, represented by an Illinois attorney, alleges that Wal-Mart wrongfully retained unused balances on gift cards. Wal-Mart contends that using the card constitutes acceptance of its terms.

In her complaint, Peach alleges that sometime after Mother’s Day in May 2004 she purchased shampoo, conditioner, and other toiletries from the Granite City Wal-Mart, using two separate $10 gift cards to pay for the purchase that totaled $18.61.

Attorneys representing Wal-Mart insist "The gift card was bought for the express purpose of purchasing Wal-Mart inventory and cannot be transformed into a right to collect cash.”

After many months of delays, a case management conference is scheduled for August 24, 2005, where Wal-Mart will get a chance to present its argument that gift cards cannot be redeemed for cash to Madison County Circuit Judge Nicholas Byron.

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