Lawsuit suggests the "O" in Overstock.com may stand for "Over-inflated" savings

Overstock.com's brand promise is (essentially): lower prices on the things that you want.

Or as the jingle says, "O-O-O-, The Big, Big O. Overstock.com. Buy online, with peace of mind..."

So, when word starts circulating that the company "routinely" inflated original prices and misled customers into believing they were getting great savings--trouble is definitely brewing.

It seems that seven California counties are suing the web retailer and say not only did they inflate the cost savings, but consumers might have been paying more than the item originally cost.

"Overstock's misrepresentations about its pricing were likely to mislead consumers into believing that [its] prices would always be significantly lower than the prices offered by other merchants for the identical products," the lawsuit stated.
 
"We profoundly regret that these officials have chosen to file this lawsuit at what appears to us to be a strategically timed moment (prior to Christmas)," Jonathan Johnson, president of Overstock.com, said in a statement. "Regardless, we have confidence in the California courts to hear and fairly decide these issues. As always, we look forward to our day in court."

The attorneys want $15 million in fines and restitution.

Source: WalletPop

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