Vermont Attorney General William Sorrell has announced that he has settled claims against
Stonebridge Benefit Services, Inc., a company that markets discount
membership programs, and J.C. Penney Company, Inc., from which
Stonebridge obtained consumer credit card information.
Texas-based Stonebridge sells membership programs that provide
discounts for various goods and services. Customers'
credit cards are subject to monthly charges unless they cancel
their memberships.
The Attorney General's claims were brought under
Vermont's Discount Membership Program Act. Passed
in 2012, the Act, which was intended to ensure that consumers
understand the terms of discount programs, provides that consumers
may only be enrolled in discount programs if they fully disclose
their credit card information to the program seller, are reminded
regularly of the program charges, and sign up again for the service
every 18 months.
