HP settles US pricing lawsuit
February 27, 2025
The company agrees to a $4 million (€3.82 million) deal after misleading discounts sparked a legal battle.
HP has agreed to a $4 million (€3.82 million) settlement to resolve a class action lawsuit in the US, following allegations that it misled customers with deceptive discount pricing on its website.
The lawsuit, brought by plaintiffs Rodney Carvalho and Mark Maher, accused the California-based technology company of displaying misleading strikethrough prices, inducing consumers to believe they were receiving substantial savings when, in reality, the products were rarely, if ever, sold at the higher advertised price.
The case, filed in the US District Court for the Northern District of California, argued that HP’s pricing practices violated California’s Consumer Legal Remedies Act, False Advertising Law, and Unfair Competition Law. Plaintiffs claimed they had paid more for HP products than they otherwise would have, or purchased items they would not have bought had they known the advertised savings were exaggerated.
After extensive discovery, including an analysis of sales data for nearly 288,000 purchases and over half a million website screenshots, the parties reached a settlement following mediation in June 2024. HP has agreed to pay $4 million (€3.82 million) to compensate affected consumers, cover legal fees, and fund the administration of the settlement.
Affected customers, who bought HP desktop computers, laptops, mice, or keyboards between June 2021 and October 2024, will be eligible for cash payments based on their purchase type, with at least $2.75 million (€2.62 million) expected to be distributed.
A final court hearing to approve the settlement is scheduled for August 2025, at which point payments to consumers will be issued. Customers will have 60 days to opt out or submit claims after receiving notification.
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