British e-commerce fashion firm Boohoo has urged the US court to drop a US $ 100 million lawsuit after it was accused of offering fake discounts to shoppers.
It’s proving to be controversial last few months for Boohoo! First, it was in the spotlight after several factories in Leicester producing apparels for Boohoo were found to be violating rights of garment workers.
However, late last month Boohoo had suspended all its business activities with some of its non-compliant suppliers.
Also Read: Boohoo suspends business with suppliers; shares fall
And now there’s this new allegation of Boohoo adopting deceptive pricing wherein it was running fake sales and promotions to attract more shoppers.
Notably, one of the three cases was filed in April 2020, but this was not shared with investors ahead of a £197 million fundraising in May 2020.
The e-commerce firm has now asked the Californian court to drop the lawsuit.
The lawyers of Boohoo have said that despite all accusations, the accusers never said that they were ‘out of pocket’.
Boohoo, which also owns Nasty Gal and PrettyLittleThing, has, meanwhile, prepared a series of legal arguments that also include the exclusion of customers outside California.
We’ll be here soon with more details!
