Last week, Spanish mega retailer, Zara, was slapped with a $5 million lawsuit over allegations of price-gouging and deception. And now, a new video posted by The Daily Mail is alleging to show proof.
Filed by the Los Angeles-based law firm, Geragos & Geragos, the class action suit claims the fast-fashion behemoth scammed American consumers out of billions of dollars with two deceptive methods: 1) only posting prices in euros and 2) selling merchandise at a substantially higher dollar amount than if the euro price were converted at the current rate.
Zara has denied the allegations, calling them “baseless.” However, in the video uploaded to YouTube this past Monday, law associates posing as customers capture Zara employees justifying arbitrary price increases of up to 55% by claiming they don’t own a converter device and that they’re obligated to use whatever price appears at the register.
Along with the lawsuit, Geragos & Geragos has launched the #Zarachallenge social campaign to encourage American consumers to hold the retailer accountable for the alleged overcharges.
You can read more about the lawsuit over at The Daily Mail.
