Chairish class action claims company uses drip pricing to charge hidden fees

Chairish class action overview:

• Who: Plaintiff Camille Broome filed a class action lawsuit against Chairish Inc.
• Why:  Broome claims Chairish adds hidden processing fees to the final cost of its products at checkout.
• Where: The Chairish class action lawsuit was filed in California federal court.

A new class action lawsuit accuses Chairish of adding hidden processing fees to the final cost of its products at checkout.

Plaintiff Camille Broome filed the class action complaint against Chairish on Feb. 5 in California federal court, alleging violations of state consumer laws.

According to the class action lawsuit, Chairish charges online shoppers an undisclosed processing fee in violation of the Consumers Legal Remedies Act, which constitutes hidden fees.

The complaint alleges that when consumers visit the website and select an item for purchase, they are not shown the total cost upfront. Instead, they are quoted an artificially low price that excludes all hidden fees, only to have a hidden “processing fee” added after they have clicked through various screens required to make a purchase, Broome says.

To make matters worse, the fee is affirmatively disclosed for the first and only time on the final “place order” screen, after consumers have input all their shipping and credit card information, the lawsuit says.

Chairish ‘swindling’ customers with hidden fees, lawsuit alleges

Broome claims this “cheap trick” has enabled Chairish to swindle substantial sums of money from its customers through hidden fees.

The complaint compares the practice to a brick-and-mortar store advertising an item for a certain price, only to add a hidden fee at the checkout counter.

Broome says that if consumers noticed a hidden fee after reaching the final stage of checkout, they would be reasonably outraged.

The class action lawsuit claims that Chairish’s practice is known as “drip pricing,” in which businesses advertise products at artificially low prices and then disclose additional charges later in the buying process.

In 2024, the California legislature amended the Consumers Legal Remedies Act to directly prohibit drip pricing, making it unlawful to advertise a price for a good or service that does not include all mandatory fees or charges, except for taxes or shipping, the lawsuit says.

Broome is looking to represent anyone who purchased items on Chairish’s website on or after Feb. 5, 2023.

She is suing for violations of California’s consumer protection laws and is seeking certification of the Chairish class action, damages, fees, costs and a jury trial.

In a similar class action lawsuit, consumers accuse MyPillow Inc. of advertising false discounts on its products and then charging a hidden “shipping protection” fee.

What do you think of the claims made in this Chairish class action lawsuit? Let us know in the comments.

The plaintiff is represented by Stefan Bogdanovich of Bursor & Fisher P.A.

The Chairish class action lawsuit is Broome v. Chairish Inc., Case No. 3:26-cv-01144, in the U.S. District Court for the Northern District of California.

Read About More Class Action Lawsuits & Class Action Settlements:

• Louis Vuitton hit with another class action in Salesforce-related data breach
• Nature’s Bakery faces another class action over ‘healthy’ fig bar claims
• Roku class action alleges cameras lost functionality without paid subscription
• Grammarly class action claims AI tool used writers’ identities without consent