Best Buy Class Action Lawsuit: Retailer Accused of Deceptive Pricing

Case Overview: A class action lawsuit claims Best Buy misled consumers with deceptive pricing practices, using inflated reference prices to create the illusion of significant discounts.

Consumers Affected: Consumers in California who purchased products from Best Buy.

Court: U.S. District Court for the Northern District of California

Best Buy has been using deceptive discount tactics to mislead customers both online and in stores, consumers are alleging in a new class action lawsuit. 

Filed by four plaintiffs, the lawsuit claims the retailer inflates "Was" or reference prices for major appliances and electronics to create the illusion of discounts, tricking customers into believing they’re getting better deals than they are.

The plaintiffs argue that these reference prices—described as the regular or previous selling prices—are rarely, if ever, actual selling prices. Instead, they say Best Buy systematically advertises perpetual discounts from inflated reference points, an illegal tactic under California consumer protection laws.

Best Buy Accused of Misleading Consumers with Fake Discounts

Leroy Porchia, Allegra Porchia, Marilyn Kaye, and Aaron Lamoree, all California residents, filed the proposed class action lawsuit alleging the company violated the state’s consumer protection lawsuit. 

Leroy and Allegra Porchia when they were purchasing a washer and dryer from Best Buy, they saw one advertised as discounted from “Was” prices of $1,034.99 and $1,124.99, respectively, the couple believed they were securing a bargain. Relying on these representations, they purchased the items for $849.99 and $949.99, the lawsuit says.

However, according to the lawsuit, the advertised "Was" prices were never the regular selling prices. Investigations revealed that the washer and dryer were consistently offered at lower prices in the preceding months. 

The lawsuit argues that such tactics induced the Porchias and the other plaintiffs, who shared similar experiences, to spend more than they otherwise would have, under false pretenses.

Lawsuit Alleges Best Buy Inflated Reference Prices to Deceive Shoppers

Inflated reference prices exploit a psychological phenomenon: consumers’ perception of value is heavily influenced by the starting price, the lawsuit explains. While legal when based on truthful and bona fide comparisons, false reference pricing crosses the line into deceptive advertising.

Under California and federal law, businesses must base their "Was" prices on the actual regular selling price of a product. Misleading consumers with inflated reference prices not only damages trust but also violates statutes meant to protect buyers from unfair trade practices.

The lawsuit points to academic studies showing that false reference prices distort consumer decision-making, artificially increasing demand and inflating the perceived value of a product.

Other Retailers Face Similar Lawsuits Over Deceptive Pricing

Best Buy isn’t alone in facing scrutiny for its discounting practices. Pillow Cube, known for its ergonomic pillows, is fighting a class action lawsuit over similar allegations of false discounts. Other retailers like Hobby Lobby, Build-A-Bear Workshop, and Macy’s have also been targeted for advertising inflated “original” prices that create the illusion of perpetual sales.

In the Best Buy lawsuit, the plaintiffs want to represent California consumers who purchased something from the company using false reference pricing after February 2, 2023. They are suing for violations of California’s Unfair Competition Law, Consumers Legal Remedies Act, and False Advertising Law, and are seeking damages, injunctive relief, restitutions, fees, costs, and interest. 

Case Details

• Lawsuit: Porchia, et al. v. Best Buy Co., Inc.
• Case Number: 4:25-cv-00134 
• Court: U.S. District Court Northern District of California 

Plaintiffs' Attorneys

• Daniel M. Hattis and Paul Karl Lukacs (Hattis & Lukacs)

Have you shopped at Best Buy recently? What are your thoughts on their pricing practices? Share your opinion in the comments below.