While the settlement is a piddling amount, the bigger winners are future Skype customers. Is it OK if we also use cookies to show you personalized ads Learn. We’ll use cookies to improve and customize your experience if you continue to browse. The settlement affects anyone who bought Skype Credit before Decemand subsequently had it canceled after 180 days of inactivity. Get 10, 25 or 50 of Skype Pre-paid credit with Skype Gift Cards from PayPal Digital Gifts. Plaintiffs allege that Skype User Accounts and Skype Credit constitute “gift certificates” that cannot expire or be subject to inactivity fees under various states’ laws and that Defendants unlawfully applied the Skype Credit expiration policy against their Skype Credit balances after 180 days of inactivity in supposed violation of these various states’ laws, including applicable “gift certificate,” consumer protection and/or unfair and deceptive practices laws. From the notice sent out to Skype users who are potential class members: The plaintiffs decided to bring their case under those laws and apply them to Skype Credits. States passed laws to crack down on the practice. Somebody would buy you a gift card and if you didn’t use it within six months or a year, it would “expire,” even though the money had already been paid and no goods were ever exchanged in return. Since the parties settled, the case never went to court, but the plaintiffs argued that what Skype was doing was no different than what numerous retailers and other businesses used to do with gift cards. Skype users who had to forfeit their credit and comes to $4 per user, which may not sound like a lot, but in Skype terms that could last you another six months easy. Well, that got Skype sued for that in a class action which they just settled for all of $1.85 million. That’s right, they were taking your money without delivering any service. But Skype was being sneaky and basically taking all unused credits (and presumably recording them as revenues) if no SkypeOut calls were made after six months of inactivity. well, forever because Skype is so cheap you can call Japan for a few dimes. When you put $10 into your Skype account for those SkypeOut calls to regular phones, you expect that money to be there.
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