Santa Clara, CA: Walmart is facing a consumer fraud class action lawsuit alleging it knowingly sold a range of bed linens advertised as being 100 percent Egyptian cotton, when the linens are made by an Indian manufacture that recently stated is uses inferior grade cottons.
Filed by plaintiff Dorothy Monahan of Michigan, the suit asserts that WalMart has long sold "100% Egyptian Cotton" bed linens under its Better Homes and Gardens and Canopy labels. This range of bed linens was manufactured by Welspun India Ltd. However, Target revealed in August, that an investigation had shown Welspun "uses inferior and less expensive cottons" in a range of products sold as Egyptian cotton, which commands a premium due to its higher quality.
According to the suit, following Target’s release, Walmart stopped selling the Welspun linens and the manufacturer admitted fault. However, Monahan says the retailer has been aware of the inferior quality of the cotton products for years.
"As early as 2008, Wal-Mart questioned the fiber content of Welspun's products, but continued its relationship with Welspun and continued to sell its products, including bed linens falsely labeled as '100% Egyptian Cotton,'" the complaint states.
The lawsuit continues, "Because of Wal-Mart's conduct, consumers who purchased Welspun bed linens at Wal-Mart overpaid for an inferior product.” Monahan alleges that she purchased a set of sheets labeled "100% Egyptian Cotton" for between $50 and $65 from a Wal-Mart in Michigan. She believed the information non the product packaging which influenced her decision to buy the sheets, believing the product would be better for her "sensitive skin" and "more durable" due to the reputation of Egyptian cotton being softer and stronger than other types cotton.
WalMart's alleged conduct constitutes breach of implied and express warranty, negligence, fraud, unjust enrichment and also violates the Textile Fiber Products Identification Act, according to the complaint.
Monahan is represented by Jason A. Zweig, Robert B. Carey and Leonard W. Aragon of Hagens Berman Sobol Shapiro LLP and Stuart M. Paynter and Jennifer L. Murray of The Paynter Law Firm PLLC.
The case is Monahan v. Wal-Mart Stores Inc., case number 1:16-cv-08662, in the U.S. District Court for the Southern District of New York.