Ralph Lauren Lawsuit Claims Polo Factory Outlet Stores Advertise Fake Discounts

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A new class action lawsuit claims Ralph Lauren Corporation and subsidiary Ralph Lauren Retail, Inc. have engaged in a false discounting scheme to “trick” consumers into believing they are getting a bargain on products sold in Polo Factory outlet stores.

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The 37-page fraud lawsuit alleges Ralph Lauren has falsely inflated its reference prices to “lure” shoppers with fake discounts and mislead them into thinking they are buying clothing with a higher market value than it actually has. The proposed class action charges that Polo Factory merchandise, in truth, is never sold at their purported “original” prices for any substantial period of time, if at all.

According to the complaint, product price tags and nearby placards in Polo Factory stores advertise percentage-off discounts that purport to lower prices to significantly less than the apparent “original” price listed on the tag. However, the false advertising case contends that the “promised savings are false” because the deals are based on fictitious regular prices that “no one ever pays.”

The retailer’s conduct allegedly violates federal pricing regulations, which stipulate that a product’s advertised original cost must be a bona fide, legitimate price at which the item was sold on a regular basis for a substantial period of time, the filing explains.

The suit contests that the alleged Ralph Lauren pricing scheme enables the retailer to sell clothing above its actual market value, leaving consumers to pay artificially inflated prices.

“Consumers are thus damaged not only by not receiving the promised discount, but by paying a premium the products would not have commanded but for the false reference pricing scheme,” the complaint argues.

The Ralph Lauren false reference pricing lawsuit looks to represent anyone in California who, within the applicable statute of limitations period, purchased from a Polo Factory outlet store one or more products at discounts from an advertised reference price and has not received a refund or credit for their purchase.

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