DirectBuy Settles Class Action With Free Memberships
Law360 (December 15, 2010, 6:54 PM EST) -- Purchasing club DirectBuy Inc. has agreed to settle a class action that accused it of misrepresenting to its members that they were buying merchandise that wasn't marked up, but very little of the deal involves cash payouts to plaintiffs.
Under a settlement preliminarily approved Tuesday by Magistrate Judge William I. Garfinkel of the U.S. District Court for the District of Connecticut, DirectBuy and two affiliates will give a free two-month membership extension to all current members.
The Indiana-based company will also offer its current members the opportunity to purchase a 28-month membership renewal for the price of a 24-month membership renewal...
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