California AutoZone customers have agreed to a settlement worth $48.9 million to end class action claims that certain store loyalty “reward credits” expired without notice when the company switched to a national plan.
Class Members include those in California who were members of an AutoZone reward credit program called the 5/20/20 plan at the time the company switched to the national plan.
Those benefiting from this settlement must have been members through a store and not online, must have made a $20 or more purchase from an AutoZone location in California using their reward credit account and had reward credits expire and not reinstated.
According to the California AutoZone reward credit class action lawsuit, the reward credit program promised a reward credit for each purchase that was more than $20. After getting five credits, plan members would receive $20 in store credit. The plan was called the 5/20/20 plan.
The plaintiffs claimed that, at that time, the reward credits had no expiration date. They said that AutoZone induced them and other customers into making larger purchases to get reward credits.
However, California AutoZones allegedly changed the program to the national plan sometime in 2014 or 2015 to require members to use the store credit they earned within 12 months. In addition, AutoZone reportedly started causing the reward credits to expire within three months of earning them.
The California AutoZone rewards credit class action lawsuit claimed that very few program members would be able to earn enough credit within three months to get the $20 store credit.
The plaintiffs also alleged that AutoZone failed to properly notify them and other customers of the change in terms of the rewards credit program, leading them to think that they were still accruing rewards, even though they had expired.
For its part, AutoZone says that it did notify customers of the change in terms and it had every right to change the terms of its reward credit program. However, the company has agreed to reinstate expired rewards and issue reward credits based on each Class Members’ number of expired credits.
Under the terms of the settlement, all expired $20 rewards earned before AutoZone converted to the national plan will be reinstated.
In addition, Class Members can claim between $5 and $15 in reward credits at AutoZone locations depending on the number of expired credits they have. All rewards issued as a part of the California AutoZone reward credit class action settlement will expire one year after they are issued.
Class Members will be automatically entered into the California AutoZone class action settlement. The benefits will be issued 30 days after final approval of the settlement agreement by the court scheduled for Feb. 21, 2020. Class Members can use the rewards either in-store or online. They will need their AutoZone reward credit account number or the name and phone number associated with the account.
The deadline to object to the California AutoZone reward credit class action settlement is Jan. 23, 2020.
There are two subclasses in the California AutoZone reward credits class action settlement:
“Subclass 1: All persons who: (1) were enrolled in a 5/20/20 plan through an AutoZone store (and not online) in California at the time of the National Plan Conversion; (2) made purchase(s) of over $20 from AutoZone in California using their Rewards account on or before July 31, 2014; and (3) whose $20 Reward(s) and/or Reward Credit(s) earned through the purchase(s) on or before July 31, 2014 were deemed expired and never reinstated by AutoZone.
Subclass 2: All persons who: (1) were enrolled in a 5/20/20 plan through an AutoZone store (and not online) in California at the time of the National Plan Conversion; (2) made purchase(s) of over $20 from AutoZone in California using their Rewards account on or after July 31, 2014; and (3) whose $20 Reward(s) and/or Reward Credit(s) earned through the purchase(s) on or before July 31, 2014 were deemed expired and never reinstated by AutoZone.”
Up to $35 in reward credits.
- All $20 rewards earned under the original program will be reinstated
- Class Members will also receive between $5 and $15 in AutoZone reward credits based on the number of credits that previously expired
Proof of Purchase
There is no Claim Form for this settlement, Class Members will automatically benefit from the class action. For more information, Class Members can visit the Frequently Asked Questions tab on the settlement website.
Mary Ruth Hughes, et al. v. AutoZone Parts Inc., et al., Case No. BC631080, in the Superior Court for the State of California, County of Los Angeles
c/o Postlethwaite & Netterville
PO Box 82565
Baton Rouge, LA 70884
WASKOWSKI JOHNSON YOHALEM LLP
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ROSENFIELD MEYER & SUSMAN LLP
ALSTON & BIRD LLP
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