Plaintiff Matthew McMillan has filed a $5 Million dollar class action lawsuit against StubHub over their Coronavirus refund policy. In the lawsuit, the Wisconsin man accuses StubHub of breach of contract and negligent misrepresentation.
McMillan’s reason for filing the lawsuit came after StubHub refused to refund two $120 tickets to an NHL game postponed due to the coronavirus. StubHub’s reasoning for denying the refund was due to the game being postponed rather than cancelled. However, McMillan feels that the game will eventually be cancelled. In lieu of a refund, StubHub offered a coupon that expires in 12 months for 120% of the purchase price.
A part of the lawsuit states that StubHub’s policy for years has been a “FanProtect guarantee.” This policy promised users a full money back guarantee should an event be cancelled. However, starting on March 12th, a series of policy changes removed this protective policy. Sukhinder Singh Cassidy, StubHub’s president, sent an email to customers informing them the company would still be offering refunds for canceled events, but was providing customers with the option of a coupon for 120% of the ticket price.
On March 25th, the company changed their policy and stated that, “if the event is canceled and not rescheduled, you will get a refund or credit to use on a future purchase, as determined in StubHub’s sold discretion (unless a refund is required by law).”
Sukhinder Singh Cassidy sent a follow up email out to customers on March 30th informing them of the policy change. However, McMillan’s complaint states that neither he or other StubHub customers were informed or agreed to the policy change.