AMERICANS are eligible for a one-time payment from a $1.9 million pot after a popular online shoe company allegedly failed its customers.
Individuals who were impacted between 2020 and 2022 are eligible to claim part of the strong settlement.
3
3
The Federal Trade Commission is sending one-time payments to thousands of customers who shopped at shoe retailer Hey Dude.
Earnings come later Hey Dude allegedly suppressed user comments and violated refund policies.
Additionally, Hey Dude was said to hide 80% of reviews that had three or fewer stars out of five.
Between January 2020 and June 2022, the FTC alleged that Hey Dude only displayed five-star reviews on its website.
Part of the settlement, which was finalized in September 2023, alleged that the footwear brand violated the Commission’s mail, internet and telephone ordering rule.
Hey Dude allegedly failed to notify buyers of any delays or canceled orders.
When they notified their customers, the retailer was unable to “issue immediate refunds.”
After the case was resolved, Samuel Levine, Director of the FTC’s Bureau of Consumer Protection, released a declaration.
“As this case makes clear, when retailers post consumer reviews online, they cannot suppress negative comments to paint a misleading picture of the consumer experience,” Levine said.
“And when retailers don’t ship merchandise on time, they must give shoppers the option to cancel their orders and immediately get their money back.
“We will continue to hold online retailers accountable for violations of the FTC Act and other laws we enforce,” he concluded.
A company spokesperson also released a statement following the settlement.
“Since acquiring the company, we have worked diligently with the FTC to reach a quick and satisfactory resolution, and we are pleased to put this behind us and move forward with the excellent customer experience, transparency and accountability for which the brands of Crocs are known,” they said in an email.
WHO IS AFFECTED?
According to FTCthe $1.9 million will be distributed to those “who experienced unexpected cancellations and shipping delays or received company gift cards in lieu of refunds for out-of-stock items.”
The FTC will send a fraction of the $1.9 million prize to 36,757 people who purchased Hey Dude shoes.
What is a class action settlement?
Class action lawsuits offer groups of people, or “classes,” a way to come together in court.
These lawsuits are often filed by one or a few people who allege that a company or other entity has harmed a large group of people.
When a lawsuit becomes a class action, it extends to all “class members,” or people who may have similar claims to those who filed the lawsuit.
Companies often settle class actions – offering payment to class members who typically waive their right to pursue legal action by accepting money.
These payment agreements often include statements from the defendant denying wrongdoing. Companies tend to settle class actions to avoid the costs of further litigation.
Pollution, discrimination or false advertising are some examples of what can lead to a class action lawsuit at a company’s door.
Affected customers will receive an email ending in .gov informing them that they will receive a payment via PayPal.
After receiving the initial email, customers will receive an email from PayPal.
After payment confirmation, the customer will have 30 days to accept it.
If buyers need more information, they can contact the refund administrator at 1-877-495-1096.
They can also visit the FTC’s FAQ section on its website.
3
This story originally appeared on The-sun.com read the full story
/cdn.vox-cdn.com/uploads/chorus_asset/file/25550927/pixel_fold_9_google.png?w=300&resize=300,300&ssl=1 "Google Pixel 9 event: start time and how to watch"){kind=tracking}
