horrible service

If a company can't give what they offer, then they shouldn't even make
it an option to begin with. If you don't have enough rooms to give
away for free to every single person who will receieve a postcard,
then either send less postcards or none at all. It's a scam to get
money out of you, and it's definitely something to get upset over.
You have every right to be disappointed.

Appealing offers that are nearly impossible to redeem are generally
illegal, regardless of the fine print.

Your experience in trying to book just this one particular night is
not enough evidence to prove a fraud, but you are on the right track.

Good luck.

Richard S.,
Simmer down there.
As the other poster stated Hotels allocate a certain number of rooms
for each promotion and when they are taken that is it. Kinda like the
train leaving the station. You can run but you won't catch it.
I am sure if you stand back and take a look at this in the light of
being a business decision it will all come into focus.
Bill R.

I guess you don't know how much I lose there? LOL!!!

This is quite common. Airlines do this all of the time. There are
only a limited number of free seats available, period. Even if there
are open seats, they aren't available for free.

I'm willing to bet that the postcard contains, in tiny letters, some
disclaimer to this effect. Does it?

If not, then I think you've got a case.