Foot Locker Sued Over Gift-Card Policy
Newark, N.J. The Associated Press reported Monday that a class-action lawsuit was filed against Foot Locker for use of dormancy fees on gift cards.
A dormancy fee is when the retailer charges the consumer a nominal fee over a period of time when the card is not used. According to the AP report, this is contrary to a 2006 New Jersey state law.
Reportedly, Foot Locker instituted the dormancy fee in April 2006 against the unused value of gift cards not used for 12 consecutive months.
The New Jersey man who brought the suit, Joseph Vona, purchased a $25 gift card for Foot Locker at a supermarket in April 2007.
Additionally, AP reported court filings included a photocopy of the terms and conditions printed on the back of the gift card, which stated that Foot Locker could deduct a $1.50 service fee per month.
In New Jersey, companies are prohibited from charging gift-card fees until 24 months after the date of purchase and fees are limited to $2.00 per month.
Produce companies endorse supply chain initiative
NEW YORK Thirty-four companies from throughout the produce supply chain, including Wal-Mart, Kroger and Safeway, have endorsed a new plan developed by the Produce Traceability Initiative (PTI) to move the supply chain to a common standard for electronic produce traceability by the end of 2012.
The plan involves adopting a standardized system of case bar-coding for all produce sold in the United States, to allow product to be tracked throughout the distribution chain. Through the plan, participating companies said they hope to maximize the effectiveness of the industry’s current traceability procedures, improve internal efficiencies and assist public officials when they need to quickly trace back a product.
The PTI is administered by Produce Marketing Association (PMA), United Fresh Produce Association (United Fresh) and the Canadian Produce Marketing Association (CPMA). The 34 companies endorsing the plan are members of the PTI’s supply chain-wide Steering Committee. Established in late 2007 to establish industry traceability best practices and set goals for their adoption and accountability, the PTI Steering Committee has been working since then to develop a plan for moving industry to chain-wide, electronic traceability.
Family Dollar announces new promotions
MATTHEWS, N.C. Family Dollar Stores announced that Marilyn Morse has been promoted to the position of vp of facilities management and Mtu Pugh to the position of vp of business development. Morse will report to Keith Gehl, senior vp of real estate and facilities. Pugh will report to Dorlisa Flur, evp of strategy and marketing.
Morse joined Family Dollar in 2006 as divisional vp of store maintenance with responsibility for the company’s store maintenance and energy management programs. Prior to joining Family Dollar, Morse served as a vp with Lowe’s.
Pugh joined Family Dollar in 2006 as divisional vp of strategy and business development with primary responsibility for the development and execution of the company’s concept renewal initiative. Prior to joining Family Dollar, Pugh served as an Associate with McKinsey & Company.