Lawsuit: Man racks up $48,500 in gift cards via glitch in hotel rewards program
#1
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Join Date: Nov 2002
Location: New York City
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Man charged with fraud for using Choice Hotels reward web site glitch
In short, the man being sued found that if he created and canceled a reservation, he still got points for it, so he did a lot of canceled reservations, got a lot of points, and cashed them in on gift cards. Now Choice is suing him for fraud.
http://www.tampabay.com/news/courts/...rogram/2232113
http://www.tampabay.com/news/courts/...rogram/2232113
#2
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In short, the man being sued found that if he created and canceled a reservation, he still got points for it, so he did a lot of canceled reservations, got a lot of points, and cashed them in on gift cards. Now Choice is suing him for fraud.
http://www.tampabay.com/news/courts/...rogram/2232113
http://www.tampabay.com/news/courts/...rogram/2232113
#3
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Pudding Man and the target of the lawsuit are completely different in what they did. Purchasing products to collect points is a distinct activity from willfully collecting and using points from non-purchases.
#4
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#5
Join Date: Aug 2010
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Doesn't Choice audit their reward point distributions when someone is racking up many points in short order?
I mean, fair enough if Choice called the guy after he did it 5 or 10 times and said that this practice is not allowed and that he'd have to cough up the dough. But he must have done it hundreds and hundreds of times... this presumably didn't happen overnight. Is Choice not under some obligation to keep tabs on its system in a timely way and notify the customer if they're doing something that's not kosher?
I mean, fair enough if Choice called the guy after he did it 5 or 10 times and said that this practice is not allowed and that he'd have to cough up the dough. But he must have done it hundreds and hundreds of times... this presumably didn't happen overnight. Is Choice not under some obligation to keep tabs on its system in a timely way and notify the customer if they're doing something that's not kosher?
#6
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Doesn't Choice audit their reward point distributions when someone is racking up many points in short order?
I mean, fair enough if Choice called the guy after he did it 5 or 10 times and said that this practice is not allowed and that he'd have to cough up the dough. But he must have done it hundreds and hundreds of times... this presumably didn't happen overnight. Is Choice not under some obligation to keep tabs on its system in a timely way and notify the customer if they're doing something that's not kosher?
I mean, fair enough if Choice called the guy after he did it 5 or 10 times and said that this practice is not allowed and that he'd have to cough up the dough. But he must have done it hundreds and hundreds of times... this presumably didn't happen overnight. Is Choice not under some obligation to keep tabs on its system in a timely way and notify the customer if they're doing something that's not kosher?
"Sorry sir, but we would prefer it if you would stop robbing our bank. If you do not, we will have to notify the police"
#7
Join Date: Aug 2009
Posts: 116
Lawsuit: Man racks up $48,500 in gift cards via glitch in hotel rewards program
I just read the following:
http://www.tampabay.com/news/courts/...rogram/2232113
ST. PETERSBURG — It was the glitch that kept on giving.
That's how Choice Hotels International, one of the world's largest hotel chains, portrays a flaw in its online reservations system in a lawsuit accusing a St. Petersburg man of fraudulently redeeming gift cards worth $48,500 in a rewards program for loyal customers.
[Mod: full text deleted in accordance with FT rules]
http://www.tampabay.com/news/courts/...rogram/2232113
ST. PETERSBURG — It was the glitch that kept on giving.
That's how Choice Hotels International, one of the world's largest hotel chains, portrays a flaw in its online reservations system in a lawsuit accusing a St. Petersburg man of fraudulently redeeming gift cards worth $48,500 in a rewards program for loyal customers.
[Mod: full text deleted in accordance with FT rules]
Last edited by ftnoob; Jun 4, 2015 at 2:43 pm Reason: quoting full text not allowed
#8
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The only problem is that in this case, Choice decided to haul all their cash from their bank out to their front yard and leave it unattended. As far as I'm concerned, it's fair game.
#9
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If they store their cash in the front yard it's asking for theft but taking it still is theft.
#10
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Doesn't Choice audit their reward point distributions when someone is racking up many points in short order?
I mean, fair enough if Choice called the guy after he did it 5 or 10 times and said that this practice is not allowed and that he'd have to cough up the dough. But he must have done it hundreds and hundreds of times... this presumably didn't happen overnight. Is Choice not under some obligation to keep tabs on its system in a timely way and notify the customer if they're doing something that's not kosher?
I mean, fair enough if Choice called the guy after he did it 5 or 10 times and said that this practice is not allowed and that he'd have to cough up the dough. But he must have done it hundreds and hundreds of times... this presumably didn't happen overnight. Is Choice not under some obligation to keep tabs on its system in a timely way and notify the customer if they're doing something that's not kosher?
#11
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I've been a member of CP for, oh, I dunno 10-15 years, and I can think of 2 occasions where I cancelled stays, and I did not received points for either one Methinks there's more to this story and than made it into the newspaper. tls
#12
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Without that, any sane person would logically conclude that it's fair game.
#13
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I don't understand what he was doing. Choice doesn't give points in my experience for making reservations; the points show up only a day or two after you stay.
If you cancel before you stay, you don't earn points because you didn't stay.
And you can't cancel after you stay.
From the article: "Robert Chat, 38, discovered the Choice Hotels booking system didn't erase his rewards points when he canceled a reservation, the suit said."
I don't understand what rewards points should be "erased" when you cancel a reservation!
If you cancel before you stay, you don't earn points because you didn't stay.
And you can't cancel after you stay.
From the article: "Robert Chat, 38, discovered the Choice Hotels booking system didn't erase his rewards points when he canceled a reservation, the suit said."
I don't understand what rewards points should be "erased" when you cancel a reservation!
#14
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There must be more to the story.
In any case, Choice should just suck it up. It clearly didn't happen all at once so they had time to catch it, and in any case it appears to have been their mistake.
In any case, Choice should just suck it up. It clearly didn't happen all at once so they had time to catch it, and in any case it appears to have been their mistake.
#15
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Scam portal: shopping portal-related points.