Skip to Content

Listen to the Joystiq Podcast (because your ears can't read)

Don't take "Confederate currency" when businesses apologize for doing wrong

More
Text SizeAAA

Filed under: Extracurriculars, Ripoffs and Scams, Wealth, Travel, Fraud


When litigator Mitchell Berns was told by Delta that his flight was canceled because of weather, he didn't get mad. He did research.

He checked with the National Weather Service and found out the airline's excuse was a sham: Snow wasn't due for many hours.

See, airlines are allowed by law to cancel flights because of bad weather, but Berns knew at a glance that Delta was just using it as an excuse. He booked with another airline, took off, and then filed suit against Delta in small-claims court to force it to pay back the cost of his replacement flight.

Delta tried to settle the matter by offering him frequent flier miles. But as most travelers are already too aware, frequent flier miles are woefully devalued, over-issued, and flooding the travel market.

As Berns told Fortune -- and this is my favorite part of the story -- frequent flier miles are "Confederate currency." Just as Dixie once did, instead of dealing with systemic problems, the airlines are just printing more useless cash to pawn off challengers.


Don't be pawned off. Say no. Make the company that ripped you off up its game. Berns told Delta he didn't want its Dixie dollars and that he wouldn't accept them. Eventually, he got the carrier to pay all but $100 of his expenses.

It's not just airlines that try to fob off legitimate beefs with pathetic offers. Electronics superstores, cruise lines, and other high-volume money machines are quick to extend a placebo olive branch. The most common ones are apologies (totally worthless) and 10% discounts on future purchases (barely noticeable, almost an insult). Just as this confessional by a Kmart manager says (see point 6), companies will often toss you a measly 10% discount to shut you up, just like you might throw some kibble to a noisy lap dog. Hold out for steak.

When a company does wrong by you, why on earth would you want to accept any deal that requires you to do more business with it? It would be like being sold a rotten apple from a bushel and then accepting a second one as an apology.

Berns reports that the whole tussle took about four hours of his time, but he got what he wanted. Those of us who aren't lawyers will probably find such victories take a little longer. But it's inspiring to see that when it comes to legitimate consumer complaints, you should never give up even when you feel like you're being Stonewalled.

Subscribe to Walletpop

Reader Comments (Page 1 of 1)

Margarine or Butter: Which is Healthier?
Which is healthier? Margarine or butter? Liquid margarine is a healthier option, but if truth be ...
Ensuring a Safe Manicure and Pedicure
Millions of women (and a few men) visit nail salons regularly to have their nails done. ...

Your Frugal Tips

dollar bill in sandwichBeing frugal is now hip, but many don't even know where to start. Share your best money-saving secrets here!

    AOL Safeguards

    Kelly Phillips Erb
    Kelly Phillips Erb Filed under: Tax, Technology, Taxes-income-tax-basics, Taxes-advice

    E-filing tips that should save time, if not money

    If the trend in e-filing continues, the IRS expects more than 100 million individual taxpayers to file their tax returns electronically for the 2009 tax year. More than one-third of those taxpayers ...
    Kelly Phillips Erb
    Kelly Phillips Erb Filed under: Tax, Taxes-income-tax-basics, Taxes-advice

    IRS' e-file program gaining users

    Chances are, you filed your federal taxes electronically this year. According to the IRS, about two out of every three individual taxpayers elected to e-file in 2009, up almost 6% from returns ...
    Amy Pyle
    Amy Pyle Filed under: Banks, Budgets, Debt, Real Estate, Recession, Mortgages, Refinancing

    Faces of loan modification: Kathy Partak, Auburn, Calif.

    How well is the government's loan modification working? WalletPop's four-part special report continues with profiles of some of those trying to get help. To read the overview, click here. Kathy ...
    Barbara Bartlein
    Barbara Bartlein Filed under: Budgets, Home, Real Estate, Buyer Beware

    Extreme home makeover, Part III: Falling victim to project creep

    This is the third part of a five-part series about how the writer and her husband, Charlie, tackled a major overhaul of their home and the pitfalls they faced along the way. To read the first ...

    Headlines from WalletPop Partners