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UPDATE: On Feb. 5, 2019, the plaintiff voluntarily dismissed the proposed Closets By Design class action lawsuit without prejudice.
A proposed Closets by Design class action lawsuit says the custom closet company offers discounts that are inflated, drawing in customers based on the buyer’s belief in the misleading pricing scheme.
The proposed Closets by Design class action claims that the company offers services related to garage organizers, custom closets, home office systems, and entertainment centers.
These items and services are offered, according to the Closets by Design lawsuit, at a deep discount from the “original” price.
The lawsuit alleges that defendants misrepresented the nature, amount, and existence of price discounts on those services and merchandise items.
The lawsuit states that the defendants never offered the items or installation at the “original” or “regular” prices listed on the promotional materials.
Furthermore, the proposed Closets by Design class action lawsuit argues that the fake deep discounts were not even the retail market value for the three months prior to the publication or dissemination of the advertised prices.
In a statement to Top Class Actions, Closets by Design Inc. and CBD Franchising Inc. deny the plaintiff’s claims.
“Closets by Design® advertisements and pricing structures fully comply with the law. Appropriately, this meritless lawsuit was dismissed without any settlement shortly after it was filed and prior to the time any response was required once the Plaintiff’s lawyers were advised of the meritless nature of the complaint. Closets by Design® has, and always will, put customers first, including by offering opportunities to make the cost of custom closet, office, and home organization more affordable. We will continue to offer our high-quality product line with first-class service to customers across the United States and in Canada,” Closets By Design states.
The proposed Closets by Design class action lawsuit says that in addition to using misleading information to draw in consumers who were under the impression they were getting a great deal that these actions by the closet company violated California law.
The lawsuit states that consumers who were duped into making purchases would not have made the decision to buy if they had known the “regular” prices were actually false.
The proposed Closets by Design class action lawsuit was filed due to alleged violations of numerous laws, including the Consumers Legal Remedies Act, the Unfair Competition Law, and the California False Advertising Law.
The lawsuit seeks an injunction against the defendants from using false or misleading claims having to do with price comparisons in their advertising and marketing in addition to unjust enrichment and remedies available under the CLRA.
The proposed Closets by Design class action lawsuit alleges that coupons are used to present that customers are receiving a significant discount in making a purchase with the company for services or merchandise.
The proposed Closets by Design pricing discount class action lawsuit seeks to represent a Class of all people living in the U.S. who purchased the services or merchandise made by the defendants advertised at a discount during the limitations period.
A growing number of lawsuits point out problems with price discounting if the regular prices are fake and only used to encourage customers to buy because they believe they are getting a great deal.
The proposed Class is represented by John T. Jasnoch, Joseph Pettigrew, and Thomas K. Boardman of Scott + Scott Attorneys at Law LLP.
The Closets By Design Lawsuit is Annemarie Newbold v. Closets by Design, Inc., et al., Case No. 3:19-cv-00077-JKS-KES, in the U.S. District Court for the Central District of California.
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21 thoughts onClosets By Design Lawsuit Says Sale Prices are Fake
Add me. I’m taking them to small claims court for the $587 they scammed me for. I still have not got anything. Was deceived.
Jason, I saw your post. Surprised anyone can work for these guys for a decade. I know of a lady who is a former employee who is filing a class action against Closet World on behave of former employees. Art you interested in contacting her?
I am. Closet World kept my money and wouldn’t refund me due to their deceptive 3 day cancellation policy in fine print. I gave them 30 days advanced notice for cancelling order, and they refused, they kept my money.
The above mentioned class action lawsuit Newbold vs CbD was voluntarily terminated on around February 5th, 2019. However, a new class action, Grevle vs Closets by Design was filed on May 3rd, 2019. Case number 2:19-CV-3881, in US District Court, Central District of California, Western Division.
Add me.
How do we get on that lawsuit? I just paid $11,000 for a closet (that afyer looking at the SAME material elewhere would have cost me about $4000 in material). I also had them give me a quote in December and decided I didnt want to do them until the spring. And I got the phone call “we need a deposit to hold thos years pricing”… When I decided I only wanted 2 out of the 3 closets done they said they dont return deposits and kept $400 of my money! All because “they locked in last years prices”. Well wouldnt you know it, there price are still the same today!! My pantry was also not anything like I wanted. I even gave them reference photos so im having them remove it. They are the biggest scam!
Add me please.
I worked for this company for close to a decade. If there is anything I can do to help burn this company to the ground let me now.
I worked for this company out of the Manassas, VA, office and have nothing but good things to say about them!!!
The case is still moving through the courts and has not yet reached a settlement. Claim forms are usually not made available to consumers until after a court approved settlement is reached. Setting up a free account with Top Class Actions will allow you to receive instant updates on ANY article that you ‘Follow’ on our website. A link to creating an account may be found here: https://topclassactions.com/signup/. You can then ‘Follow’ the article above, and get notified immediately when we post updates!
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Add me to the Class Action Lawsuit please
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