Harbor Freight Class Action Settlement Announced

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In a statement dated March 15, 2017, Garden City Group, LLC has announced the settlement of a class action case brought against discount tool retailer Harbor Freight.

Harbor Freight Class Action Settlement

The lawsuit alleges that Harbor Freight violated consumer protection laws by using misleading prices for merchandise sold in its stores. The plaintiff, Jeffrey Beck, claims Harbor Freight improperly advertised a sale or “comp at” price on its goods when those items had not been sold at the advertised regular or “comp at” price for at least 28 of the preceding 90 days. The plaintiff also asserts that the difference between the “comp at” price and the actual offering price was false and intended to mislead customers.

Harbor Freight denies the allegations and claims it has always been in compliance with the law. The proposed settlement of the class action case does not require Harbor Freight to admit fault.
The settlement is addressed to the purchase of any item from Harbor Freight between April 8, 2011 and December 15, 2016 which was advertised with a higher reference price next to a lower current price but which was not sold by Harbor Freight at the higher reference price before the transaction. Persons making a purchase falling into this category are eligible to take part in the settlement.

To be entitled to participate in the settlement, a completed claim form must be filed either online or by mail addressed to National Sale Price Settlement, c/o GCG,
P.O. Box 10351, Dublin, OH 43017-5551. Claim forms must be filed by August 7, 2017.

Eligible people who file claims on time may receive either a cash payment or a Harbor Freight gift card. The settlement amounts for these people depends on the amount of the transactions, the existence of supporting documentation, whether they choose to receive cash or a gift card and the number of valid claims. To be eligible to participate in the settlement, individuals must submit a receipt for the purchase, a credit card or debit card statement which includes charges for the transaction or a sworn declaration verifying the purchase.

Those qualified to take part in the settlement have the following recovery options: a cash payment of 20 percent or a gift card equal to 30 percent of the “you saved” amount shown on a Harbor Freight receipt, a cash payment of 10 percent or a gift card equal to 12 percent of the qualifying purchases shown on a credit or debit card statement or a $10 gift card if the transaction is shown by a sworn written statement.

Potential class members do not have to be legally bound by the settlement if they exclude themselves from the class. This can be done by mailing a request to be excluded to National Sale Price Settlement, c/o GCG, PO Box 10351, Dublin, OH 43017-5551 by June 7, 2017. People who properly exclude themselves by doing so will not receive a payment under the settlement.
Plaintiffs will ask for attorney’s fees and expenses of up to $10,000,000 and for $10,000 in additional compensation for Mr. Beck.

The proposed settlement is still subject to court approval. Eligible people may ask for a payment, exclude themselves from the settlement, object to it or ask to be heard at the upcoming final approval hearing, scheduled for July 7, 2017, at 1:15 p.m., at the Lake County Court of Common Pleas, 47 North Park Place, Painesville, Ohio.

If the settlement is approved, Harbor Freight will be released from liability to all of the class members for the claims made in the case.

Learn more about Class Action Lawsuits.

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