Computers Sold on Lenovo.com Worth Much Less Than Advertised, Class Action Alleges
by Erin Shaak
Ham v. Lenovo Group Ltd. et al.
Filed: June 17, 2022 ◆§ 1:22-cv-05131
A proposed class action lawsuit alleges Lenovo has deceived consumers by representing online that its computers are worth more than they actually are.
New York
A proposed class action lawsuit alleges Lenovo has deceived consumers by representing online that its computers are worth more than they actually are.
According to the 40-page case, Lenovo has for years listed its laptop and desktop computers online at a purported discount from an advertised “estimated value” or “web price,” giving customers the impression that they are obtaining substantial savings on the machines.
The suit alleges that although customers are led to believe that a Lenovo computer’s estimated value or web price represents either the product’s normal price on the company’s website or its market price, “[n]one of this could be further from the truth.” A Lenovo computer’s estimated value, the complaint claims, has no relationship whatsoever with its actual sales price on Lenovo.com or at any other retailer.
Per the case, the estimated value and web prices listed by Lenovo are “simply a work of fiction,” grossly overstated and “completely unrepresentative” of the machines’ quality and value compared to similar products. From the complaint:
“This is because the List Price or Estimated Value used to calculate the amount of reported Discounts or ‘savings’ is not the prevailing market price for obtaining the same product from one of the dozens of other retailers that sell Lenovo products or the prevailing market price for obtaining any comparable product from another manufacturer or, most damning, the price ever charged by Lenovo at Lenovo.com for the subject item in the normal course of its business.”
The result of this allegedly deceptive pricing scheme, according to the suit, is that customers do not receive the purported discounts they think they are getting when they purchase a Lenovo product. Ultimately, buyers are left with computers that are worth much less than advertised, the lawsuit contends.
The case says that Lenovo’s products—which include the ThinkPad, ThinkBook, IdeaPad, Yoga, Legion, Lenovo and Chromebook laptops; the ThinkCentre, IdeaCentre, Legion, Yoga and ThinkStation desktops; the ThinkPad and ThinkStation workstations; Lenovo tablets; and the ThinkVision and Lenovo monitors—are often advertised at a purported sale price that is hundreds or even thousands of dollars less than the estimated value or web price also included with the listing.
According to the suit, Lenovo defines its products’ “estimated value” with the following description:
“Estimated value is Lenovo’s estimate of product value based on industry data, including the prices at which Lenovo and/or third-party retailers and e-tailers have offered or valued the same or comparable products. Third-party data may not be based on actual sales.”
The lawsuit claims, however, that a product’s estimated value does not have “any relationship whatsoever” with actual sale prices on Lenovo.com or at any other retailer and is simply a fabricated number meant to inflate the perceived value of the product.
In fact, the case says, many of the Lenovo products at issue can be found at other retailers, such as Amazon, for hundreds of dollars less than the purported “value” or web price on Lenovo’s website, and sometimes even cheaper than Lenovo’s sale price.
The lawsuit argues that consumers would not have purchased products from Lenovo.com had they known the computers were worth “significantly less” than the retailer represented.
The suit looks to represent anyone in the U.S. who, during the fullest period allowed by law, purchased any of the products listed on this page from Lenovo.com for which Lenovo advertised a web price or estimated value and a sale price.
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