SAN FRANCISCO – U.S. consumers pursuing legal action against French luxury brand Hermès have amended their lawsuit yet again, seeking to convince a skeptical judge that the company is compelling buyers to spend thousands on other products before they can purchase one of its iconic Birkin bags.
The three California plaintiffs filed their third complaint on Friday, enhancing their allegations and providing additional details after Hermès requested the federal court in San Francisco to dismiss the high-profile case.
The revised lawsuit asserts that Hermès only allows customers with a “sufficient purchase history” the opportunity to buy a coveted Birkin bag, which is handcrafted and can cost several thousand dollars. The plaintiffs argue that Hermès is violating U.S. antitrust laws by tying the purchase of other products to the ability to buy a Birkin bag. The updated complaint also includes claims of false advertising and fraud, stating that Hermès and its sales staff “know that many of the people they induce to buy ancillary products will not in fact get a Birkin bag.”
Hermès has not yet responded to requests for comment regarding the latest filing. The lawyers representing the consumers also declined to provide comments.
The luxury house has denied any wrongdoing, asserting to U.S. District Judge James Donato that the claims are “far-fetched” and that Hermès faces significant market competition. Judge Donato, a former antitrust lawyer appointed to the bench in 2014, expressed skepticism about the consumers’ claims during a hearing in September.
“Hermès can run its business any way it wants. If it chooses to make five Birkin bags a year and charge a million for them, it can do that,” Donato stated. He added, “The fact that a lot of your clients may not be able to get a Birkin bag is not a Hermès antitrust problem.”
Furthermore, Donato suggested that Hermès’ alleged practices could actually enhance competition, as the brand’s pricing strategy might drive consumers to consider rival products. “If Hermès is going to make you pay a fortune for their bag, they are leaving the ground open for every competitor to say, ‘Come on in and get our beautiful bag, and you don’t have to buy $3,000 or $30,000 worth of belts,’” he noted.
Related Topics:
