99 Cents Only Stores Sued for Raising Prices
The West Coast chain of 99 Cents Only Stores is facing two lawsuits for raising the prices of its items to 99.99 cents, essentially making them cost $1.
The would-be class-action suits filed last month in Los Angeles superior court claim unfair and deceptive business practices and misleading advertising, the Los Angeles Times reports.
Eric Schiffer, chief executive of the retailer, told the Times that the company “took every possible effort and avenue to basically bombard the consumer about our increase.” Signs have been changed, large posters are in store windows, and ads have been changed in newspapers, he said.
Orange County lawyer Dan Callahan told the newspaper that a survey done before the suit was filed showed that most people didn’t realize they were paying more. “If they call themselves 99 Cents Only, it should be 99 cents,” he said. “The people who go to that store are typically lower income or seniors, so the people they’re taking advantage of are the ones least able to discern the difference and least able to afford it.”
