In one of my businesses, hotel booking, i also sell gift cards and market them agressively in festive seasons.1 year validity. 45% goes unclaimed, its now 20% of total profit (all legal here, expiry date in a large font)
Is it really illegal that for a discounted fee you get access to a hotel room during the next year? If that's the agreement you make? If I could pay $100 now to get my whole family into Disney land any weekday in 2024, I'd pay for that.
That's not the same as putting $100 on a hotel gift card which you can use anywhere anytime at the hotels many properties, maybe to cover a pet fee or cleaning fee or parking, or to reduce the cost of a room during a peak cost period like 4th of july.
I’m not really clear on what you’re saying, but it seems like you may have misunderstood the original post. In any case, the illegal part, at least in CA, is having an expiry date on most types of gift certificates/gift cards.
Sleazy, unethical, and probably illegal. As an example: Kansas for instance, among other states, has unclaimed property law and these things must be turned over to the state.
In many states that is the explicit requirement yes. They are considered unclaimed property and must be handed over to the state to return to the individual.