Billing Scam Alleged in San Diego

(CN) - A class action claims the owner of Pro Flowers, Red Envelope and other Web sites created a phony "rewards program" to steal monthly payments from customers. A "third party marketing partner," Encore Marketing International, "fraudulently bills the credit and debit cards under the guise that Provide-Commerce's customers authorized the billings," according to the complaint in San Diego Superior Court.

Defendant Provide-Commerce sells high-end perishables through ProFlowers, Red Envelope, Cherry Moon Farms, Secret Spoon, and Sharri's Berries, according to the complaint. Provide allegedly has Encore charge customers' credit cards $14.95 a month for a rewards program that offers no rewards.

The class claims the defendants enroll customers in the "EasySaver Rewards" program without their knowledge when they go to a Web site to redeem a coupon. Later, the alleged victims find that a $1.95 "activation fee" and a $14.95 monthly "membership fee" have been charged to their debit or credit card. But the class says the deceptive program "does not provide any savings benefits, products or services."

Lead plaintiff Josue Romero says he bought flowers from ProFlowers on his debit card. He says Provide-Commerce "routinely and fraudulently transmits its customers' credit and debit card information to a third part marketing partner, defendant Regent Group Inc. dba Encore Marketing International ('Encore'), who then fraudulently bills the credit and debit cards under the guise that Provide-Commerce's customers authorized the billings".

Romero seeks class damages for fraud, breach of contract, and false advertising. He is represented by James Patterson.

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