Thursday, February 4, 2016

Kohl’s Fake Sale Class Action Lawsuit Seeks Certification

KohlsA Kohl’s customer who accused the retailer of misleading shoppers in a price-comparison advertising scheme has asked a California federal judge to certify the class action lawsuit.

Lead plaintiff Wendy Chowning asked U.S. District Judge Michael W. Fitzgerald to grant certification of a class action that alleges that Kohl’s routinely offers “fictitious” sale prices knowing that customers are motivated by the discount.

The Kohl’s class action lawsuit filed last summer alleges that the retail store advertises online, in-store and through print when items are on sale from the “regular” or “original” price.

Chowning accuses Kohl’s of inflating the prices so the markdown will look appealing to the shopper in violation of several state laws.

According to California’s False Advertising Law, “no price shall be advertised as a former price of any advertised thing, unless the alleged former price was the prevailing market price as above defined within three months next immediately preceding the publication of the advertisement.”

The Kohl’s fake sale class action lawsuit says this misleading practice preys upon the shoppers’ emotions and likely cause the false belief that customers are getting a high value item for a discount.

Chowning alleges that Kohl’s set the prices for private label items such as Apt. 9 and Jennifer Lopez and then falsely advertises those products for a discount to the “regular” price, which it almost never is actually listed for.

In September, Kohl’s asked the judge to dismiss the fake sale class action lawsuit by claiming that customers can’t prove they paid more than they should have.

“This should end the matter,” the motion to dismiss stated. “Kohl’s should not be put to the expense of discovery and full-blown litigation if plaintiffs cannot allege in good faith that they received products that were worth less than what they paid for them.”

Kohl’s further argued that since the plaintiffs are now familiar with the store’s pricing practices, they are not likely to be harmed in the future, making a need for injunctive relief unnecessary.

If Judge Fitzgerald approves the Class certification, the Kohl’s class action lawsuit will be open to all Class Members while in the State of California between July 21, 2011 and the present, who purchased from Kohl’s one or more private or exclusive branded items at a discounted “sale” price of 30 percent or more below a stated “Original” or “Regular” price.

The Kohl’s shoppers are represented by James P. Frantz, William P. Harris III and George T. Stiefel of Frantz Law Group APLC, Derek J. Emge of Emge Firm LLP and Matthew J. Zevin of Stanley Law Group.

The Kohl’s Fake Sale Class Action Lawsuit is Chowning et al. v. Kohl’s Department Stores Inc. et al., Case No. 2:15-cv-08673, in the U.S. District Court for the Central District of California.

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