A class action lawsuit has been filed against Staples, accusing the retailer of deceptive pricing practices in its AutoRestock program. The lawsuit claims that Staples lures customers in with promises of discounts but then hides a mandatory $9.95 shipping fee until after checkout.
Consumers Affected: U.S. consumers who purchased items through Staples' AutoRestock program and were charged a hidden shipping fee.
Reason for Lawsuit: Allegations of deceptive pricing, false advertising, and failure to disclose shipping fees upfront, leading to consumer harm and unfair business practices.
Court: The class action lawsuit was filed in the U.S. District Court for the District of Massachusetts.
Office supply retailer Staples is facing a class action lawsuit alleging deceptive pricing practices in its AutoRestock program. The lawsuit claims that Staples lures customers into the program with promises of significant discounts but then hides a mandatory $9.95 shipping fee until after the purchase is complete.
Los Angeles resident Erin Weiler filed a proposed class action lawsuit against Staples, alleging deceptive pricing practices in their AutoRestock program. On June 22, 2024, Weiler purchased Heavy Duty Shipping Packing Tape through the program, expecting a discounted price as advertised. However, she was surprised to find an undisclosed $9.95 shipping fee added at checkout.
Weiler claims that Staples' website clearly stated the product price as $6.56 (including tax) before and during checkout, with no mention of additional shipping costs. This misleading practice, she argues, induced her and other customers into purchasing through the AutoRestock program under false pretenses.
“Accordingly, Plaintiff relied on Staples’ clear and unambiguous representation that she would be charged $6.56 for the product. That price became the basis of the bargain between Plaintiff and Staples, in that Plaintiff would not have purchased the product on the same terms (or would not have purchased it at all) if she knew that the represented sales price was not accurate,” the lawsuit argues.
Weiler contends that Staples did not disclose at any point before or during the checkout process that she would be charged an additional $9.95 shipping fee. She says she would not have purchased the product, or would not have willingly spent as much money, had she known that Staples would in fact charge her $16.51 for the product, which is 251.67 percent higher than advertised.
Staples' AutoRestock program is designed to incentivize customers with discounts on recurring orders. However, the lawsuit claims that Staples intentionally hides shipping fees until after checkout, employing a deceptive "bait and switch" tactic. This practice lures customers in with promises of savings, only to surprise them with added costs later.
By delaying the disclosure of a $9.95 shipping fee on orders under $25, Staples prevents customers from making fully informed decisions about their purchases. As a major e-commerce player, Staples is aware that shipping costs are a significant factor in customer decision-making. Instead of offering competitive shipping options or transparent pricing, the company allegedly chooses to conceal this information, increasing the likelihood of completed transactions.
This alleged tactic not only misleads customers but also gives Staples an unfair advantage over competitors who are upfront about their shipping fees. By hiding this crucial information, Staples can secure sales that might otherwise have been lost due to shipping costs, artificially boosting their sales figures and market share.
“Thousands, if not millions, of Staples customers have been lied to and effectively stolen from: they were told they would be charged one low price for a product, but were surprised to later learn that they were in fact charged a higher price after the transaction had closed,” the lawsuit states.
Staples isn’t the only company to face litigation over alleged hidden fees. Dunkin’ Donuts was just hit with a class action lawsuit claiming it imposes hidden dine-in fees on customers without prior disclosure. Lens.com also faces a similar class action lawsuit accusing the online contact lens store of concealing additional surcharges and fees from consumers.
In the Staples AutoRestock hidden fees class action lawsuit, Weiler aims to represent all consumers in the United States who were charged or paid a shipping fee by Staples after ordering an item through Staples’ AutoRestock program on Staples’ website. She is suing for breach of contract, unjust enrichment, conversion, and fraud.
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