In the past year, the FTC has promoted consumers’ so-called “right to repair.” In particular, the FTC has focused on the “Anti-Tying Rule” of the Magnuson-Moss Warranty Act (the “MMWA”), which limits manufacturers’ ability to steer consumers to manufacturer-affiliated repair shops. Plaintiffs’ firms have taken notice, filing a spate of class actions based on purported violations of the Anti-Tying Rule. These same firms have also filed a spate of consumer class actions against retailers alleging violations of the MMWA’s “Pre-Sale Availability Rule.” Manufacturers and retailers should confirm they are complying with the MMWA and state law.
Continue Reading FTC Complaints and Class Actions Send Warning to Consumer Product Manufacturers and Retailers: Double-Check Your Product Warranties

For the past few years, retailers have been confronted with a tidal wave of litigation alleging that their websites are inaccessible in violation of the Americans with Disabilities Act (ADA). Indeed, in 2018 alone, one analysis determined that there were at least 2,258 web accessibility cases filed in federal court, a 177 percent increase from the previous year. Of these cases, a total of 1,564—over 69 percent—were filed in New York federal courts by just a handful of lawyers, including Jeffrey Gottlieb, Bradley Marks, C.K. Lee, Joseph Mizrahi, Jonathan Shalom and Doug Lipsky, with a surge following two unsuccessful motions to dismiss in cases involving Five Guys and Blick Art.
Continue Reading The Next Wave of Accessibility Litigation in the Retail Industry: Braille Gift Cards

The tidal wave of New Jersey Truth-in-Consumer Contract, Notice and Warranty Act cases may finally slow to a trickle: a long-awaited decision from the New Jersey Supreme Court came down Monday, April 16, 2018, that will likely have broad repercussions on who has standing to sue under the statute.
Continue Reading New Jersey Supreme Court Defines TCCWNA’s “Aggrieved Consumer” Requirement

On August 7, 2017, the FTC announced that it obtained a court order temporarily halting an online marketing scheme that deceptively lured shoppers into expensive negative option plans. The FTC alleged that defendants used initial low-cost trial offers to hook consumers into expensive monthly shipments without properly disclosing the terms and conditions of the deal or properly obtaining their consent.
Continue Reading FTC Continues Crackdown on Misleading Online Marketing Tactics

Over the past few months, a new trend has emerged that has ramifications for virtually every participant in the online retail space: a rise in the number of class action claims challenging allegedly excessive shipping and handling fees. Regardless whether an online retailer offers flat or incremental fees, standard and expedited options, or free shipping with returns-only fees, few are immune from claims that the fees charged do not align perfectly with retailers’ underlying shipping costs.
Continue Reading An Unwelcome Delivery: Excessive S&H Fee Claims in Consumer Class Actions

The first blow to the recent expansive application of the New Jersey TCCWNA was struck by a federal court in California last month. In Candelario v. Rip Curl, Inc., the Central District of California granted a motion to dismiss a complaint alleging a TCCWNA violation of website terms and conditions because the plaintiff lacked Article III standing.
Continue Reading New Law in a TCCWNA Terms and Conditions Case

TCCWNA. The very acronym evokes head scratches and sighs of angst and frustration among many in the retail industry. The New Jersey Truth-in-Consumer Contract Warranty and Notice Act was passed in 1981 to protect consumers from allegedly deceptive practices in consumer contracts, warranties, notices and signs. Continue reading for an in-depth view of the TCCWNA and what retailers can do to minimize risk.
Continue Reading The New Wave of Consumer Class Action Targeting Retailers: What is the TCCWNA?