Customized Wristband Buyer Files Price-Fixing Class Action Lawsuit

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Several companies have been hit with a class action lawsuit accusing them of engaging in a conspiracy to fix prices for customized silicone wristband products, customized lanyards and customized pin products.

On Monday, plaintiff Summer Lang of Arizona filed the price-fixing class action lawsuit against Zaapaaz Inc. d/b/a WB Promotions Inc., Wrist-Band.com and Customlanyard.net; Custom Wristbands Inc. d/b/a Kulayful Silicon Bracelets, Kulayful.com, Speedywristbands.com, Promotionalbands.com, Wristbandcreation.com and 1inchbracelets.com; Netbrands Media Corp. d/b/a 24hourwristbands.com and imprint.com f/k/a Lightbeam Inc.; Casad Company d/b/a Totally Promotional; Brandeco LLC d/b/a brandnex.com; and several individuals allegedly involved in the antitrust scheme.

According to the customized wristband class action lawsuit, the defendants used text messaging, Facebook, Skype, WhatsApp, and in-person meetings to communicate with coconspirators regarding the pricing of customized silicone wristband products, customized lanyards, and customized pin buttons. These products may be customized with an imprinted brand name, slogan, person’s name or other types of text or imagery as requested by a customer.

This alleged promotional products price-fixing scheme took place from at least June 2014 through June 2016, Lang says. According to the price-fixing class action lawsuit, a whistleblower was approached about joining the price-fixing scheme. The whistleblower reportedly notified the government and agreed to wear a wire to record conversations in which the defendants discussed pricing of their customized products.

The U.S. Department of Justice investigation reportedly resulted in guilty pleas by Zaappaaz and its founder and president, and by Custom Wristbands and its owner and CEO. In addition to pleading guilty to price-fixing, Zaappaaz agreed to pay a nearly $2 million criminal fine and Custom Wristbands agreed to pay a $409,000 criminal fine.

Lang says she purchased silicone wristbands with an anticancer slogan from Wrist-Band.com to raise money for a friend who was diagnosed with cancer.

Lang filed the price-fixing class action lawsuit on behalf of herself and all persons and entities in the United States that purchased customized promotional products from any of the defendants since 2014.

“If Defendants had not conspired with one another to fix prices, Plaintiff and members of the Class would have paid substantially lower prices for Customized Promotional Products during and throughout the Class Period,” Lang alleges.

The price-fixing class action lawsuit accuses the defendants of violating Section 1 of the Sherman Antitrust Act and seeks damages in the amount of three times the amount of overcharges the Class Members paid as a result of the allegedly anticompetitive conduct. Lang also seeks pre- and post-judgment interest; injunctive relief to prevent further anticompetitive conduct; attorneys’ fees and costs; and any other relief the court deems appropriate.

Lang is represented by Bruce W. Steckler of Steckler Gresham Cochran; Austin B. Cohen, Keith V. Verrier, and Charles E. Schaffer of Levin Sedran & Berman; and by Joseph J. Siprut, Stewart M. Weltman and Todd McLawhorn of Siprut PC.

The Customized Wristband Price-Fixing Class Action Lawsuit is Summer Lang, et al. v. Zaappaaz Inc. d/b/a WB Promotions Inc., Wrist-Band.com and Customlanyard.net, Case No. 4:18-cv-00044, in the U.S. District Court for the Southern District of Texas, Houston Division.