MoneyNews Money AMERICAN’S could be eligible for free cash as a US retail giant is forced to fork out $14M over misleading promotions. Washington state residents affected by false advertising between June 2, 2021, and July 7, 2026, may qualify for a one-time cash payment. Costco Wholesale Corp will pay $14M to settle a class action lawsuit Credit: Getty Costco Wholesale Corp have agreed to pay the whopping sum in settlement of a class action lawsuit which claimed they sent commercial electronic mail messages with false or misleading subject lines. The claim deadline is August 24. Sign up for the Money newsletter Thank you! The suit alleged Costco sent commercial emails to Washington residents with subject lines advertising temporary or time-limited promotions but then falsely extended those promotions beyond the stated time frame. The plaintiffs said this violated Washington’s Commercial Electronic Mail Act and Consumer Protection Act. Costco denies any wrongdoing but agreed to settle to avoid further litigation and expense. The promotional emails include examples such as, “Today is the last day to access Member-Only Saving” or “Hot Buys available for 5 Days Only.” Affected customers will have received an email from the wholesale behemoth between the aforementioned dates. If individuals received an email or letter, it is likely they will qualify for the lump sum. Most read in Money The exact amount each person receives depends on the number of valid claims submitted. The settlement administrator will divide the net settlement fund equally among all approved claimants after deducting attorneys’ fees, litigation costs, settlement administration costs and a service award to the class representative. The attorneys’ fees alone stand at $4,620,000. Individuals can file a claim online or download a PDF claim form to print, complete and mail to the settlement administrator. The final approval hearing will be on October 2. It comes as Costco faced accusations of false advertising in a class action filed in January. According to the suit, filed in the US District Court for the Southern District of California, Costco allegedly advertised that its Kirkland Signature Seasoned Rotisserie Chicken contains no added preservatives. The plaintiff argued that in-store signs and details on the company’s website “create an overall net impression that the Rotisserie Chicken does not contain added preservatives.” Comment now
Costco shoppers in line for free cash from $14million email settlement over ‘misleading promotion’ – claim by Aug 24
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