QUOTE(BBQ123 @ Jul 26 2005, 12:29 AM)
Then you should drink $10 worth of stuff, let them charge you $25 anyway, show ID... and then report them to the card issuer/Visa/Mc/Amex so you get the money back... and they get fined.
This is how I would do it. Let them charge you $25 and than whatever the difference is ... dispute it and request a chargeback. There is an option on disputes for "goods and/or services not delivered/rendered." In this case you were charged for $25 in drinks, but only given $10 in drinks. Than, when the bank asks for an explanation tell them there was a minimum for using the credit card or something to that effect.
In this case, the club gets a double whammy: fine and the chargeback.
However, there is a reason why the clubs do this.
When you pay with cash, it's easy. Here's $2.50 for my Coke, $4 for my beer. A few hours later, $2.50 for my Coke, $4 for my beer. That's $13 over a few hours. Two $6.50 bills. Probably not too drastic to run credit cards there.
Where it gets sketchy is when patron a, b, and c are at the club together. They order their first drinks together. But, through the course of an evening Patron A gets 4 more drinks, Patron B gets 3 more drinks and Patron C gets 1 more drink. Each time they use their card. So what you have is 1 larger charge, than 8 more small charges. Multiply that over and over and over and the club is suddenly getting nailed with the standard fee just for swiping the card.
By running the $25 charge one time, the clubs are only hit with one fee and it saves money. As a customer, you are being forced to pre-pay for the drinks.
On the other hand, it's not a problem if you pay cash per drink. There are no costs associated.
Now, what should happen is that they charge you the $25, but if you get $10 in drinks, the final charge should only be the $10. There wouldn't be anything illegal about that at all. It would be perfectly legal. It would simply be an authorization for the evening and similar to what the gas station or a hotel does. If you go over the $25 you are charged the difference. Fair enough, right?
Also, they could get around this by requiring a $25 cash deposit from cash customers. Heck, in Vegas there are shows that require you to buy $7 in drinks. In the end it's one or two drinks. Unless you dring fancy cocktails, you are being overcharged. I'm a soda drinker and hate paying a $7 charge to get a watered down Coke.
Back to the start, I would simply dispute the difference between what you drank and what they charged. Seems perfectly legit to do so to me.