Originally Posted by
loyaltymatch
As I stated at the beginning of this thread, redemption is the process LoyaltyMatch supports, not the process of buying or selling points/miles or points/miles tickets.
Actually, that is not what you posted at all. You actually posted:
...we do not circumvent the FFP programs...
our service assists you in connecting to a member from another program allowing you to: ... 2) sell the reward for cash to a buyer (e.g. like a quasi eBay or craigslist process).
This is the same exact bit that I put in my first reply to you that you have still not answered.
The article you've cited has exactly one reference to your program, and it is NOT from a loyalty program executive. It is from Trevor Van Nest, Vice President of Consumer Card Marketing, American Express. And his view is that the program would be positive if it allowed for the consolidation of points, which it does not offer. So you've got an unqualified person answering a question about a product he is apparently not completely familiar with, and the answer is that is is "not very popular yet and won't become popular until someone comes up with a model that makes it valuable for the customer to transfer and consolidate." That in no way speaks to the legitimacy of the service you offer.
As for citations for programs that expressly prohibit what it is that you have formed your business to facilitate, here are a few.
Continental Airlines:
OnePass rewards and mileage in your OnePass account may not be sold, bartered, traded, exchanged or purchased, except under programs fully authorized and/or sponsored by Continental Airlines. Rewards and mileage obtained in violation of this rule will be void and confiscated. A violation of this rule may result in the termination of your OnePass membership and forfeiture of all mileage in your account.
If a person other than the OnePass member or the person named on the reward attempts to use the reward, it will be void and travel will be denied. Altered rewards are also void.
Rewards deemed void will be confiscated and the mileage forfeited by the member. At the discretion of OnePass, actions which result in a void reward may lead to membership termination and forfeiture of all mileage.
Is your program fully authorized and/or sponsored by Continental Airlines?
Delta Airlines:
The sale or barter of mileage credit, vouchers, Award Certificates, or Award Tickets by SkyMiles members is prohibited. Delta will terminate or deduct mileage from the account of any member who violates this rule. Award Certificates or Tickets obtained through prohibited sale or barter transactions are VOID, invalid for travel, and will be confiscated. Persons trying to use such tickets will not be permitted to travel unless they purchase a ticket from Delta at the applicable fare.
American Airlines:
# At no time may AAdvantage mileage credit or award tickets be purchased, sold or bartered. Any such mileage or tickets are void if transferred for cash or other consideration. Violators (including any passenger who uses a purchased or bartered award ticket) may be liable for damages and litigation costs, including American Airlines attorneys fees incurred in enforcing this rule.
# Use of award tickets that have been acquired by purchase or for any other consideration may result in the tickets being confiscated or the passenger being denied boarding. If a trip has been started, any continued travel will be at the passenger's expense on a full-fare basis. The passenger and member may also be liable to American Airlines for the cost of a full fare ticket for any segments flown on a sold or bartered ticket.
# Fraud, misrepresentation, abuse or violation of applicable rules (including, but not limited to, American or American Eagle conditions of carriage, tariffs and AAdvantage program rules) is subject to appropriate administrative and/or legal action by appropriate governmental authorities and American Airlines. Such action may include, without limitation, the forfeiture of all award tickets, and any accrued mileage in a member's account, as well as cancellation of the account and the member's future participation in the AAdvantage program. In addition, American Airlines reserves the right to take appropriate legal action to recover damages, including its attorney fees incurred in prosecuting any lawsuit.
And lest you think it is an airline-only thing, take a gander at the rules for the
Starwood Preferred Guest program:
8.1 No Starpoints or Awards may be exchanged or redeemed for cash, prizes or credit. Awards must be redeemed in accordance with these Terms and Conditions and the procedures specified on the Award certificate, if any.
Hertz is pretty explicit, too:
#1 Awards Rental Certificates are not replaceable and are only transferable to a member's spouse or domestic partner. Spouse or domestic partner should have his/her own #1 Club number to use the #1 Awards Rental Certificate. Altered or photocopied #1 Awards Rental Certificates will not be honored.
This is even more restrictive than the hotels and airlines which do allow one to book a reward in the name of someone else.
How many more examples would you like to see?
I wish you a lot of luck, Brad, but to come here and claim that the transactions you are facilitating are not cash-based, not in violation of the program T&C and actually beneficial for the airlines is just plain ludicrous.