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 Harrah's Entertainment, Inc. has been forced to pay millions of dollars to their rewards customers as the result of what many would consider to be a frivolous lawsuit.
Back in 2003 Harrah's gave out a coupon for $15 in cash to their Total Reward's members as part of their Birthday Cash promotion. Debra Smerling showed up at the casino to claim her coupon at approximately 12:30am on August 10th but was told she would have to come in later because Harrah's policy stated that the new casino day did not start until 8:00am. Smerling angered by the casino's policy pointed out that that information was not include on the coupon but was told by casino employee's she would have to wait. Not about to wait six and a half hours for her $15 Smerling returned home and later sought out the law firm Galex Wolf, LLC to represent her and the thousands of other Total Rewards customers in a class action lawsuit against Harrah's.
A lengthy legal battled ensued with the New Jersey Superior Court eventually ruling that Harrah's had violated the New Jersey Consumer Fraud Act for refusing to honor the coupons before 8:00am without disclosing its definition of a gaming day. As a result of the ruling more than 80,000 Total Rewards customers who successfully redeemed their $15 coupons will be awarded $100 each and an additional 270,000 customers who did not redeem their coupons will receive notices informing them that if they did attempt to cash in the coupons and were denied, they have the right to file a lawsuit of their own. Just goes to show the devil is in the details.
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