Kim Kardashian and her sisters Kourtney and Khloe made a bad bet when the endorsed a pre-paid credit card with scandalously high fees; now it could cost them. Would you believe $75 million?
The Kardashians and momager Kris Jenner are being sued for $75 million in damages by Revenue Resource Group, which came up with the high-priced deal, according to gossip site radaronline.
Until now, the Kardashian’s greedy promotional efforts have been teflon-coated. Kim and her sisters have hawked diet pills and other products, without repercussions. But their biggest and boldest grab, clearly blew up in their faces.
The so-called “Kardashian Kard,” which included images of the Kardashian trio on the front cost up to $99.95 to purchase, $7.95 per month to use after the first year, $6 for customer service calls and up to $500 in penalties for lost cards.
The fees were way beyond the industry standard and prompted a chorus of criticism from consumer organizations.
When Connecticut Attorney General Richard Blumenthal announced he was investigating the card in November, the Kardashians quickly backed out of the endorsement deal, effectively killing the card.
But Revenue Resource Group claims the Kardashians signed a two-year promotion agreement, and it wants to be compensated for the breach of contract, according to court papers.
A lawyer for the group told E! News that the terminated deal, plus the negative publicity, has “effectively put this company out of business.”
It’s unknown what the Kardashian’s take was on the deal, but the credit card fiasco will end up costing them way more than it was worth.
Clearly greed knows no bounds.