Law ought to protect members of loyalty schemes
FRUIT CAMP, a fruit company with chain stores in over 20 cities nationwide, has reportedly closed hundreds of its shops over the past two weeks. Members of the company's loyalty program, who prepaid for products, are now finding it hard to get their money back. This is not the first such incident and the root cause of this problem lies in the judiciary failing to do its duty, says a comment on Beijing Youth Daily:
Prepaid membership programs are popular worldwide, because they help companies get money quickly, while offering some discounts to consumers.
However, the business mode has some prerequisites, namely both sides must follow the rules. The customer has paid for goods or services already so there is no chance of a change of mind. But if the company breaks the covenant and refuses to provide the goods or continue providing services, the customer suffers losses.