Home Depot To Pay $750K Over Gift Card Violations: Sonoma DA

SANTA ROSA, CA — Home Depot will pay $750,000 to settle allegations brought by district attorneys in Sonoma, Contra Costa, Los Angeles, and Ventura counties that the retailer failed to follow state laws related to gift cards.

Sonoma District Attorney Carla Rodriguez announced the judgment and civil enforcement action Friday, which includes civil penalties, fees and restitution. According to the DA's office, an investigation revealed that Home Depot failed to redeem certain gift cards for cash when asked at multiple locations.

California's Gift Card Law requires they do not expire and that consumers can exchange them for cash if their value is less than $10.

"Our office seeks to ensure that businesses comply with laws that are enacted to protect consumers," Rodriguez said. "It is important the consumers understand that they have the right to receive cash payment of balances on gift cards under $10."

On top of the $750,000 settlement, the judgment requires Home Depot to program point-of-sale systems cash out qualifying gift cards, provide notice to customers that they can be redeemed for cash, and provide related employee training.

Consumers can check their gift card balances on Home Depot's website.