Friday, September 28, 2012

Scandal: Is Forever 21 Pinching Pennies?


Retail outlet Forever 21 has had their share of law suits over the years. Numerous fashion designers have sued the company for copyright infringement over the years, as the brand is known for creating knock offs of high-end designs.
However, the recent lawsuit is a tad different. As reported by JustLuxe.com and The Daily Business Review (as posted on Thelaw.com,) the company is being sued by a customer who says the company is scamming customers a penny at a time.
Lawyer Caroline Kellman claims that she bought a pair of shorts from the retailer on May 12 for $14.46, but when she went to return the shorts, the company shorted her a penny, returning only $14.45. But the same thing had happened to her in the past. She was shorted a penny the previous July when she only received $11.56 for a skirt she returned that cost $11.57.
Kellman believes the company is engaging in what she calls a “Penny Pinching Scheme.”
As crazy as this sounds, it could turn out to be a major lawsuit!
From DBR:
The lawsuit, which accuses the retailer of a "penny-skimming scheme," seeks class-action status for two groups — anyone who has been charged 1 cent more and anyone refunded 1 cent less by Forever 21 in the past five years. The $15,000 threshold for civil actions in Miami-Dade Circuit Court translates to 1.5 million pennies, or at least 750,000 customers making and returning purchases since 2007.
So is the outlet up to no-good, or is this a crazy waste of time?

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