Skechers Settles Lawsuit for $45 Million

We have all seen the commercials, or at least heard of shoes called Skechers Shape-ups, Tone-ups, or the Resistance Runner, and the claims that using the shoes will shape your bottom and give you toned thighs.  Well, the Federal Trade Commission, along with forty-four other states, including Illinois did not believe the shoe company’s statements and promises.

Skechers Settles Lawsuit for $45 MillionThe states and the FTC filed a lawsuit, on the same day that it settled the lawsuit, claiming that Skechers intentionally deceived its customers by claiming the shoes would work wonders on your body. The lawsuit states that the company made unsubstantiated claims in its marketing and advertising leading customers to believe that the shoes would substantially benefit the customers’ health. The settlement prohibits Skechers from making unsubstantiated claims and awards customers who purchased the shoes $40 million and $5 million to the plaintiff states as reimbursement for the investigation costs.

According to an Illinois press release, Illinois Attorney General Lisa Madigan stated, “Companies that make health claims without scientific proof to support them are using deceptive tactics that may unfairly influence consumers’ purchasing decisions.”

Although companies may legally use puffery to encourage consumers to buy their products, they may not flat out deceive their customers as did Skechers. In other words a company may not make claims about their products that do not have any basis in fact. If you believe that a company has used deceptive marketing practices to persuade you into buying their product, then you should contact a top Chicago business attorney who is familiar with consumer practices law. If you need help understanding laws in creating your own company or advertising campaign, it is in your best interest to contact a practiced Oak Brook, Illinois business lawyer  to ensure that you don’t run into issues like the Skechers company in your future.