Settlement provides refunds for RadioShack gift cards
Attorney General Kathleen G. Kane has announced a federal bankruptcy judge has approved a settlement agreement that will lead to 100 percent reimbursement for consumers who purchased RadioShack gift cards.
Attorneys with the Office of Attorney General’s Bureau of Consumer Protection worked toward the settlement, which is supported by 22 other states and the District of Columbia. The settlement was reached after RadioShack filed for bankruptcy earlier this year.
The settlement agreement applies to consumers nationwide and does not impose a minimum dollar threshold for consumer claims relating to unredeemed RadioShack gift cards. The settlement calls for RadioShack gift cards to receive “priority” status, meaning preference will be given to these claims in the bankruptcy proceedings. This applies to RadioShack gift cards purchased at RadioShack stores and other retailers.
The settlement also provides that RadioShack merchandise returns and certain promotional gift cards that do not qualify as “priority” claims under applicable bankruptcy law will be paid as general unsecured claims if consumers choose to file a proof of claim with the bankruptcy court. As an alternative to filing a proof of claim, consumers can choose to redeem these gift cards in General Wireless stores for half of a customer’s purchase price, up to the full amount of the gift card for RadioShack-branded products.
General Wireless purchased the RadioShack brand name earlier this year and currently operates stores with the RadioShack name.
Consumers who paid for RadioShack gift cards will have one year to file a claim. Those whose email or postal addresses are part of RadioShack’s records will receive notice via email or post card with instructions on how to file a claim. Consumers may also do so online at http://www.oldradioshackgiftcard.com.
The settlement effort was led by the office of Texas Attorney General Ken Paxton. In addition to the District of Columbia, the supporting states are Arizona, Arkansas, Florida, Georgia, Hawaii, Illinois, Indiana, Maine, Maryland, Massachusetts, Missouri, Nevada, New Hampshire, New York, North Dakota, Ohio, Oregon, Rhode Island, Tennessee, Virginia, Washington and West Virginia.
Consumers with questions about the settlement may call the Office of Attorney General’s Bureau of Consumer Protection at 1-800-441-2555.