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Court Rejects Small-Print Fee in Simon Gift Cards

BROOKLYN, N.Y. (CN) - Gift cards issued by Simon Property Group contained unenforceable provisions in lettering that was too small, the New York Appellate Division ruled.

Christopher Lonner sued Simon Property Group for deceptive business practices because the cards carried a $2.50 monthly dormancy fee, which triggers if the cardholder doesn't use the Simon Gift Card within six months.

The card fits into a cardboard sleeve, with the dormancy fee provisions written in small type on the back of the sleeve.

"New York courts have repeatedly held that the use of small print in commercial documents may undercut the enforceability of terms that are set forth in such print," Justice Dickerson ruled.

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