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Barneys May Be Deceiving Customers With “Sale” Price

A class action has been filed targeting Barneys New York alleging unlawful, unfair, and fraudulent business practice of advertising fictitious prices and discounts on merchandise sold in its retail outlet stores, Barneys Warehouse.

This practice of deceptive pricing may occur when a retailer fabricates a fake regular, original, and/or former reference price, and then offers an item for sale at a “discounted” price. This can mislead consumers into believing they are receiving a good deal and induces them into making a purchase. 

Barneys allegedly advertises its merchandise for sale by attaching a price tag to the item which sets forth a fictitious reference price. The reference price appears as a strikethrough, for example, “$575.00” followed by the discounted price at which the item is being offered for sale, i.e. “$289.00.”

Retailers may benefit from advertising deceptive prices because the net effect of this practice is that the market value of the falsely advertised product is artificially inflated. 

If you or anyone you know may have shopped at Barneys Warehouse, please contact Finkelstein Thompson LLP. You can reach us at contact@finkelsteinthompson.com or call us toll-free at 1-844-280-5009.

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