Lawsuits have been filed claiming that certain bed linens manufactured by Welspun India Ltd. (“Welspun”) were falsely labelled as being made from 100% Egyptian cotton.
Retailer Reviews Reveal The Truth
According to one complaint, on August 19, 2016, Target Corporation (“Target”), which sold Welspun’s sheets under the Fieldcrest brand, announced that a review it conducted confirmed that Welspun substituted non-Egyptian cotton in some of the bed linens manufactured between August 2014 and July 2016. Target also announced that it was terminating its relationship with Welspun and would phase out all Welspun products. Several days after the Target announcement, on August 22, 2016, Welspun stated it would take responsibility for the mislabeling.
After Welspun’s admission, on August 23, 2016, Wal-Mart Stores, Inc. (“Walmart”), which sold Welspun’s bed linens under the brands Better Homes and Garden and Canopy, announced that it would also review Welspun’s products. On September 9, 2016, Wal-Mart announced that it would discontinue selling Welspun’s bed linens because Welspun could not offer assurances that its products were made from 100% Egyptian cotton. Another complaint, however, filed against Walmart, alleges that the retailer was aware of problems with Welspun’s sheets since 2008.
Why does the labeling matter?
Sheets made from Egyptian cotton are of a higher quality than standard bed linens and, therefore, command a higher price. If the sheets were actually made from standard materials, consumers may have been tricked into paying a higher price for what they thought were better quality sheets. Further, if a retailer knew of the false labeling and continued to sell the sheets, as is being alleged against Walmart, it could also be held liable in a suit.
Who may have been affected by the false labeling?
According to a complaint, the Welspun bed linens were sold at various retailers including Target, Walmart, JCPenney, Kohls and Bed Bath & Beyond. The bed linens were labelled either “100% Egyptian Cotton” or “100% Long-Staple Egyptian Cotton” and were sold under various brand names including Fieldcrest (Target), Better Homes and Garden (Walmart), Canopy (Walmart), Jennifer Lopez (Kohl’s), and Crowning Touch (Bed Bath & Beyond.)
What can those who may have been affected do?
The Kehoe Law Firm is ready to help. Those who believe they purchased the falsely labelled sheets can speak to an attorney for a free, no-obligation consultation by calling Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, or sending an e-mail to [email protected]
Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, false claims, deception or data breaches. Together, the partners of the Kehoe Law Firm, P.C. have spent more than 30 years prosecuting precedent-setting securities and financial fraud cases in federal and state courts on behalf of institutional and individual clients.