Legal Question in Consumer Law in Nebraska

Re: Dealership Not Honoring Their Gift Cards

If the facts you recite are accurate, this decision by the GM will expose the dealership to potential liability far greater than any costs associated with continuing to honor the program. I suspect that GM has rationalized this decision because he doesn't expect anyone to retain an attorney over a rather small amount of damages. It may be possible however, to bring an action under the provisions of Nebraska's Consumer Protection Act which provides for an award of actual damages, court costs, and attorney fees. This means more customers will be encouraged to file suit because they will not have to pay their attorney's fees if they win. The GM may also be thinking that the worst that can happen is that the court would order him to honor the cards. That would be incorrect. The court may, and is likely, to order him to pay each card holder that files suit a few thousand dollars to take their business somewhere else to get their oil changes performed. GM is gambling that customers will only grumble and complain a little bit and not seek the advice of an attorney. Once a few parties have filed suit however, the attending publicity is likely to attract enough cardholders to cost the dealership a tremendous amount of money. There is also a possibility that the Attorney General for the State of Nebraska would bring an action on behalf of all cardholders under the same statute.