According to a report by The Press-Enterprise, GameStop have agreed to pay $500,000 in civil penalties after settling a consumer protection lawsuit that was filed in Riverside County in California.
This lawsuit stems from a 2017 filing stating that GameStop did not abide by the “secondhand dealer” regulations relating to items purchased for the intent of reselling. The suit also said that two GameStop stores within Riverside County “transacted so many game console trades every week ‘that the UPS employee could not take all of them.’ ”
District Attorney investigators in Riverside County found that 14 of the county’s 16 GameStop stores did not comply with this law that states that items must be held for at least 30 days before resale. The same investigation 8 of the 12 stores in Contra Costa County and half the stores within Tulare County also failed to comply with the law.
In addition to the $500,000 penalty, GameStop will create a procedures program for its stores to comply with California’s second-hand dealer laws, have a training program for its employees and keep electronic records of the employee training.
