Ross Customer Seeks Cert. in Fake Sale Class Action Lawsuit

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The plaintiff in a class action lawsuit alleging Ross falsely advertises its “compare at” prices on sales tags asked a federal judge to certify a proposed Class. At the same time, Ross asked the judge to dismiss the class action.

Plaintiff Jose Jacobo alleged in his class action lawsuit that Ross misleads consumers into believing they are getting a deal when the company is actually just inflating the supposed retail prices of their goods.

Jacobo says that Ross’ price tags include a “compare at” price that makes it seem that the item would be much more expensive if bought at a regular retail store. However, the “compare at” price, says the plaintiff, is fake.

In its motion to dismiss, Ross argues that the plaintiff did not establish that the “compare at” price tags were deceptive and that other consumers have based their decision to purchase Ross items because of the price tags. Ross argues that the “compare at” prices “represents a recent documented selling price of the same or similar product in full-price department stores or specialty stores.”

“Plaintiffs cannot prove falsity or deception because they have no evidence that any of the Compare At prices at issue are not what they allegedly expected: comparisons by Ross to identical items sold by other retailers,” contends Ross in its motion to dismiss.

According to the plaintiff’s motion to certify a proposed Class, the accuracy of the “compare at” pricing is not as important as the deceptiveness of the tag itself.

“Whether Ross’s [advertised reference price]s were based on identical or similar merchandise, common evidence will determine whether Ross’s price tags complied with [Federal Trade Commission] regulations or otherwise violated California’s false advertising laws,” Jacobo argues.

The plaintiff also points out that not all of the prices Ross used relate to the cost of an identical item at a different retailer. Sometimes, says the plaintiff, there’s no way of knowing how Ross determined a “compare at” price.

“Further, Ross continues to compare its prices to prices listed at only one other retailer rather than prices at ‘a reasonable number of the principal outlets,’ as required by the FTC Guides,” the plaintiff argues.

Jacobo also takes issue with Ross’ contention that the proposed Class could not be identified because not all Ross customers necessarily used the “compare at” price tag to make their purchasing decision.

“The evidence which Plaintiffs will use to prevail on their claims is common to the Class as a whole and will resolve each Class Member’s claim in one stroke,” says the plaintiff in his motion.

Ross lost an initial motion to dismiss and its opposition to Class certification in the class action lawsuit.

Jacobo is represented by Douglas Caiafa of Douglas Caiafa APLC, and Christopher Morosoff of the Law Office of Christopher J. Morosoff.

The Ross Stores False Sale Class Action Lawsuit is Jose Jacobo v. Ross Stores Inc., Case No. 2:15-cv-04701, in the U.S. District Court for the Central District of California, Western Division.

UPDATE: On June 7, 2017, the plaintiffs in a class action lawsuit accusing Ross Stores Inc. of using deceptive pricing tactics have fought back against the retailer’s motion for summary judgment, arguing that the evidence supports their claims that Ross violated consumer protection laws.

UPDATE 2: On Sept. 29, 2018, consumers in the Ross class action lawsuit alleging the store deceptively priced items say they’ve reached a settlement agreement totaling $4.85 million.

UPDATE 3: January 2019, the Ross “compare at” pricing class action settlement is now open. Click here to file a claim.

UPDATE 4: On Nov. 29, 2019, Top Class Actions viewers started receiving gift cards from the Ross class action settlement worth as much as $10.49. Congratulations to everyone who filed a valid claim and got PAID!