San Francisco, CA: A potential settlement has been reached in a consumer fraud class action lawsuit pending against Nike and Apple. If approved, consumers who purchased a Nike+ Fuelband may be eligible to receive $25 from the defendants.
The lawsuit, filed in 2013, alleged that the Nike+ FuelBand, which is supposed to track every step and calorie a wearer burns, doesn't work as advertised. The device costs $150. the lawsuit claims that "In truth, the Nike+ FuelBand cannot and does not track each calorie burned, and users experience wildly inaccurate calorie burn readings when using the FuelBand."And, "As a result of defendants' conduct, buyers of the FuelBand, including class members, were in fact misled into purchasing a device that defendants purported would track calories burned when in fact it cannot and does not track calories burned, misleading and damaging customers."
Apple claims no liability in the settlement. However, Nike has agreed to provide either a $15 payment or a $25 gift card redeemable at Nike-owned stores in the US and Puerto Rico, and online at Nike.com, for each Nike+ FuelBand purchased by members of the Settlement Class during the class period for which a valid claim is timely submitted. Each class member who timely submits a valid claim may choose between the monetary payment or the gift card. The gift card is freely transferable and does not expire. A fairness hearing has been scheduled for November 4th. Full information on the settlement including how to make a claim, can be found here: http://www.nikefuelbandsettlement.com/
The class action is entitled Carolyn Levin, et al. v. Nike Inc., et al., Case No. BC509363, in the Superior Court of the State of California.