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J. Crew faces suit over alleged 'false reference pricing'

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Saturday, November 23, 2024

J. Crew faces suit over alleged 'false reference pricing'

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SAN JOSE, Calif. (Legal Newsline) — A class action lawsuit against J. Crew alleges the company uses "false reference pricing" to mislead consumers on the quality and value of its merchandise.

Dani Calderon and Evguenia Babaeva, individually and on behalf of all other persons similarly situated, filed a complaint in January in California's Santa Clara County Superior Court against J. Crew Group LLC alleging violation of California's Consumer Legal Remedies Act and other claims. 

According to the plaintiffs' class action, the defendant has two divisions, J. Crew (JC) and J. Crew Factory (JCF), in which they offer similar clothing with similar labeling and logos. The plaintiffs claim they made multiple purchases of clothing from the defendant's retail locations and that J. Crew misleads consumers as to the quality and value of the merchandise sold online and at its retail stores by using "deceptive sales tactics."  

Specifically they claim J. Crew offers "comparable value" prices on all of its products but fails to inform consumers what the value of prices and savings are based on and that "comparable value" prices correspond to prices "for other, higher quality products at JC not JCF." The plaintiffs allege the JCF products are not comparable to JC clothing because the JC clothing is a higher quality of material and stitching than JCF clothing. They claim the defendant's "false reference pricing" violates state and federal law. 

The plaintiffs and the class seek monetary relief, interest, trial by jury and all other just relief. They are represented by Neal Deckant of Bursor & Fisher PA in Walnut Creek and Matthew Gird and Julian Diamond of Bursor & Fisher PA in New York City. J. Crew recently removed the case to California federal court.

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