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According to the settlement, season ticket holders and other purchasers of tickets for luxury had to pay a security deposit to the team, which was required to return the deposit within 30 days after the seat licenses were expired or terminated.
However, the Commanders did not act in good faith and return the deposits to consumers unless they requested the return in writing, which Frosh says is a violation of the Consumer Protection Act for failing to honor its contracts and return the deposit to the deposit to buyers.
Under the terms of the settlement, the Commanders are required to refund all security deposits that have not been returned, and if they are undeliverable, the team must turn over the funds to be held as unclaimed funds.
It also contains an injunction requiring the team not to mislead consumers in the future about their security deposit practices and to return any future deposits that are collected from fans.
The Commanders are also facing a civil suit in the District of Columbia for an alleged scheme to cheat season-ticket holders out of their money.
“For many years, the Commanders kept money that was not theirs. It belongs to their customers,” Frosh said in a statement. “Today’s settlement will require the team to return the monies owed to consumers. The Commanders will pay a penalty, and they will be enjoined from engaging in similar practices in the future.”
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