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ARTICLE ID 195842

$________ – False advertising – Business uses allegedly misleading "discount" off MSRP for product they manufacture – Alleged violation of state consumer protection laws.

U.S. District Court, Southern, New York

In this false advertising action, a clothing retailer/manufacturer was accused of misleading customers with its sales tags. The suit was resolved via settlement. The original plaintiff in this class action, Tressa G., was a customer at the defendant, Michael Kors, LLC’s outlet store. The plaintiff claimed that she was "induced" to purchase a pair of "Side Anklez" jeans, which were listed at a $________ MSRP (Manufacturer Suggested Retail Price), and reduced to $________. However, as the defendant manufactures the items themselves for its outlet stores, the plaintiff maintained that this made the tag misleading.

The plaintiff filed suit in the U.S. District Court for Southern District of New York against defendants Michael Kors, LLC. The defendant was accused of violating the California’s False Advertising Law (Cal Bus. & Prof. Code § ________), Unfair Competition Law (Cal Bus. & Prof. Code § ________) and Consumers Legal Remedies Act (Cal. Civ. Code § ________), by deceptive price listings, and creating the illusion of a discount. A class was later certified for those likewise affected.The matter was resolved with a settlement for $________.

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