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Under Armour faces pricing class action

LEGAL NEWSLINE

Wednesday, December 18, 2024

Under Armour faces pricing class action

Lawsuits
Underarmour

SAN FRANCISCO (Legal Newsline) - Class action lawyers who allege discount prices are misleading customers are suing Under Armour.

Plaintiffs Mark Williams and Pamela Cho filed a class action lawsuit July 26 against Under Armour, Inc. in the United States District Court for the Northern District of California. 

The plaintiffs allege that Under Armour engaged in deceptive pricing practices at its Factory outlet stores and online outlet by advertising false discounts from inflated reference prices. They claim this scheme misled consumers into believing they were receiving significant discounts, causing them to overpay for products.

The complaint alleges violations of California's Unfair Competition Law, False Advertising Law, and Consumer Legal Remedies Act, as well as the Federal Trade Commission Act. Plaintiffs seek monetary damages, restitution, and injunctive relief to halt these practices.

The case alleges that Under Armour's reference prices did not reflect actual former prices at which substantial sales occurred. Instead, the company allegedly used fictitious original prices to create an illusion of savings. 

This practice was uniform across all Under Armour Factory outlets and its e-commerce platform, the suit says.

Plaintiffs argue that such false advertising schemes harm all consumers by artificially inflating product demand and market prices. They seek class certification to represent all affected consumers in California who purchased items at purported discounts from Under Armour Factory outlets.

Todd Carpenter and others at Lynch Carpenter represent the plaintiffs.

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