Holy. That's horrible...I never heard of that $79.99 policy, either, and I would be APPALLED if that happened to me. Glad you got your $ back, and I will definitely be more weary if and when I shop there again!!
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I had a similar experience with marshall. I bought a pair of hudson jean at clearnace price $36.
The next day I went there to return it. An employee said he had to check with his manager for the return as $36 was too expensive for a pair of jeans.
The manager also said that $36 was too high just for a pair of jeans and that he had never seen a brand "hudson". After waiting 30 mins for the manager to call and find out that they indeed had a hudson at $79.99, I was able to return it.
With tjmaxx, I was one time accused of steaing a wallet when I was putting my cell phone in my tote bag. It was a very unpleasant and humiliating experience, but a District Service Manager stepped into the case on the very first day it happened (probably because I was about to contact a lawyer?).
He treated the case properly. He immediately admitted mistakes from the store manager and securities, called me at home and work several times to apologize and give me update how the case was handled (they fired securites), wrote a letter, asked me to stop by their main office and to have a 30min meeting with their team about customer service problems, offered me $300 gift card with 10% off coupon.
But after these two unpleasant incidents, I shop tjmaxx and marshall less often and buy only cheap stuffs (like under $20).
You should write a letter to their Corporate office detailing the difficulty that you had return merchandise that you had a receipt for within the return period. Their behavior was unprofessional, disorganized, and just plain stupid.