California Prosecutors Say the Restaurant Chain Failed to Let Customers Redeem Small Gift Card Balances for Cash

Chipotle Mexican Grill will pay $246,000 to settle a consumer protection lawsuit alleging the company violated California law by failing to allow customers to redeem small balances on gift cards for cash, prosecutors announced this week.

The settlement, entered in Ventura County Superior Court, resolves allegations that Chipotle did not provide California consumers with the option to cash out gift cards with less than $10 remaining. The fast-casual chain, which operates more than 500 locations in California, denied any wrongdoing but agreed to a range of monetary penalties and compliance measures.

Under the judgment, $145,467 will be paid in civil penalties — including $36,36

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