The Washington Commanders have recently reached a settlement with the Virginia Attorney General, agreeing to pay $1.3 million as a result of a two-year investigation into the franchise’s handling of season-ticket deposits. The investigation was initiated in April 2022 after allegations of financial improprieties surfaced during a congressional investigation. Attorney General Jason Miyares stated that the settlement includes more than $600,000 in deposits and an additional $700,000 in penalties and investigation costs.
The events in question occurred during Dan Snyder’s ownership of the franchise, but he sold the team in July to a group led by Josh Harris. Despite the change in ownership, the current management cooperated fully with the investigation, providing necessary documents and findings from their internal investigation. Miyares commended the new ownership for addressing the issues left by the previous regime and working towards a resolution.
The investigation revealed that the Washington Commanders unlawfully withheld significant amounts of security deposits from season-ticket holders and imposed additional conditions on consumers seeking refunds. Additionally, the franchise failed to remit any unclaimed security deposits to state authorities until at least 2023. The team also sent form letters to former ticket holders without following proper procedures for refunding deposits.
As part of the settlement, the Commanders are required to refund all remaining security deposits on dormant accounts or remit them to state unclaimed property departments as per state law. The franchise must refund security deposits within 30 days of the contract expiring and pay civil penalties of $600,000, along with $100,000 for attorney fees and investigation costs. The agreement aims to rectify the mishandling of ticket deposits and protect consumer rights.
Attorney General Miyares emphasized the importance of holding corporate actors accountable for misconduct and protecting consumers from unfair practices. The settlement with the Washington Commanders serves as a reminder that businesses must adhere to regulations and act in the best interest of their customers. Miyares expressed satisfaction that the issue has been resolved and reiterated the office’s commitment to ensuring transparency and fairness in corporate dealings.
Overall, the settlement between the Washington Commanders and the Virginia Attorney General sheds light on the importance of ethical business practices and compliance with consumer protection laws. The franchise’s willingness to cooperate and rectify the mishandling of ticket deposits under previous ownership demonstrates a commitment to transparency and accountability. As the Commanders move forward, they must prioritize customer trust and fair treatment to uphold their reputation and avoid similar disputes in the future.
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