Hollister Sued Over "Fake" Online Discounts

Case Overview: A class action lawsuit claims Hollister misled consumers by using inflated reference prices on its website to advertise fake discounts, a tactic prohibited under California law.

Consumers Affected: California residents who purchased Hollister products through the company’s website at advertised discounts based on inflated reference prices.

Court: Superior Court of the State of California, County of San Diego

Hollister is being sued over claims that its website advertises discounts that aren’t real. The lawsuit says the company posts inflated reference prices next to lower numbers to create the illusion of bargains, a tactic prohibited under California law.

The case centers on a purchase made by California shopper Rebeka Rodriguez. On March 4, 2025, she bought a short-sleeve crew baby tee for $6.99 after seeing it listed as marked down from $14.95. 

According to the lawsuit, that “original” price was not the prevailing market rate in the 90 days before her order, making the advertised discount misleading.

Complaint Says Strike-Through Prices Misled Buyers

The complaint claims Hollister uses strike-through pricing to convince shoppers they are saving money, even when the higher number never reflected an actual selling price. These so-called phantom discounts, the filing argues, encourage quick purchases by making customers believe they are getting a deal.

Rodriguez contends that the practice unfairly increases Hollister’s sales and profits while leaving buyers with products that are not the bargains they expected.

Practice Allegedly Used Across Hollister’s Website

The filing argues that Hollister’s reference pricing extends beyond a single purchase. According to the complaint, similar strike-through comparisons have appeared across the website, affecting a range of items.

This, Rodriguez argues, misrepresents value and gives Hollister an unfair advantage over competitors that follow state pricing requirements.

Other Retailers Face Similar Pricing Lawsuits

Hollister is not the first brand accused of using deceptive discount strategies. Lowe’s faced lawsuits earlier this year from consumers alleging inflated reference pricing both in stores and online.

In the Hollister fake online sales class action lawsuit, Rodriguez is suing for alleged violations of California’s False Advertising Law and the Consumers Legal Remedies Act. 

She is asking the court to award damages and restitution for affected customers, as well as injunctive relief to stop Hollister from continuing the alleged scheme.

Rodriguez is also seeking a jury trial. If the case is certified as a class lawsuit, she would represent all California residents who purchased Hollister products through the company’s website at advertised discounts based on inflated reference prices.

Case Details

• Lawsuit: Rodriguez v. Abercrombie & Fitch Trading Co.
• Case Number: 3:25-cv-01890-JES-DEB
• Court: Superior Court of the State of California, County of San Diego

Plaintiffs' Attorney:

• Scott J. Ferrell and Victoria C. Knowles (Pacific Trial Attorneys APC)

This lawsuit raises important questions about online retail practices. What are your thoughts on 'phantom discounts'?