Recently, the United States’ large membership-based wholesale retailer, Costco, is recalling Synergy restaurant gift cards sold at its stores due to the issuer’s bankruptcy rendering them invalid.
This recall is not a traditional voluntary recall by the retailer, but rather the third-party issued restaurant gift cards becoming unusable due to the issuer’s bankruptcy.
Costco had been selling Synergy Restaurant Gift Cards issued by a third-party company, Synergy World, Inc., either in-store or online. However, Synergy World filed for bankruptcy (Chapter 7 bankruptcy) at the beginning of 2026, and its gift card management and redemption system ceased operations starting from January 31.
The affected Synergy gift cards were sold between October 27, 2025, and January 26, 2026. Costco has stated that customers who were unable to use the remaining balance on their cards before January 31 can return the cards to their local Costco store for a refund.
However, the recall by Costco is not limited to gift cards alone.
On February 1, Costco announced a recall of caramel-filled mini beignets (also known as doughnuts). The company explained in the recall notice that some caramel-filled doughnuts were mistakenly packaged with chocolate hazelnut mini beignets.
The company stated that the mislabeled products contain undisclosed tree nuts. Costco is concerned that individuals with hazelnut allergies or severe sensitivities may experience severe, life-threatening allergic reactions if they consume the product.
The recalled products were distributed between January 16 and 30, 2026, to various states including Alabama, Arizona, California, Colorado, Florida, Georgia, Hawaii, Idaho, Illinois, Iowa, Louisiana, Michigan, Missouri, Nevada, New Jersey, New York, Ohio, Oregon, Pennsylvania, Tennessee, Virginia, and Washington.
Customers who have purchased these mini beignets and have a nut allergy are advised not to consume them. They can return the products to any Costco store for a full refund.
(This article referenced reporting by USA TODAY)
