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$1.1M Toys R Us Consumer Fraud Class Action Settlement Approved


This is a settlement for the lawsuit.

Los Angeles, CA: A $1.1 million settlement has been approved by a California judge in a consumer fraud class action lawsuit pending against Toys "R"Us. The lawsuit alleged that the toy retailer falsely advertised that consumers would receive full refunds on returned items purchased with promotional gift cards and discounts.

The lawsuit was filed by lead plaintiff Laura Maybaum in November 2009 and is entitled Laura Maybaum v. Toys "R"Us Inc., et al., Case No. BC466115. In it, Maybaum alleged customers who purchased products that offered free gift cards, buy-one-get-one 50 percent-off discounts or other benefits, received less money than the full purchase price on returns. This was in directly violation of a California law, the lawsuit states, which prohibits retailers from giving less than full cash or credit refunds unless a more restrictive policy has been put in place.

Under the Toys "R"Us consumer fraud class action settlement, Class Members will receive a voucher for $10 off a purchase of $50 or more. Class Members include all California consumers who purchased products from Toys "R"Us stores since January 1, 2008 that qualified for a promotion and subsequently returned one or more items.

Additionally, under the terms of the settlement, Toys "R"Us has agreed to provide enhanced disclosure of its return policy for merchandise purchased as part of a promotion, which will include placing disclosure information at point-of-sale displays.

Another consumer fraud class action is currently pending against Toys R Us, filed by a consumer who alleges the company engaged in a bait-and-switch scheme that lured in online shoppers with offers of valuable free gifts but turned out be small or non-existent.

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Published on Dec-6-12


READER COMMENTS

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Bait and switch, false advertisement, consumer fraud, etc? 99 cent Only store continues to lie that their products are ONLY 99 cents we'll I have seen items so far as high as 5.99. I and hundreds and counting are tired of this. I have signatures to prove it.

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