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If you plan to use the word “Honest” as part of a company name, you should ensure the practices implemented by the company include making truthful statements. Honest Company recently found it pays to be untruthful, with the preliminary settlement on August 2, 2017 that resolves six lawsuits.
The preliminary approval of the Honest Company settlement merges six different class action lawsuits into one legal resolution. Primary plaintiffs alleged Honest Company labeled and marketed some of the company products in deceptive ways by making unsubstantiated claims. Honest Company allegedly claimed its products do not contain SLS. However, several laboratory tests confirmed the presence of sodium coco sulfate (SCS). Honest Company claimed SCS represents a “coconut based cleaner” that offers a “gentler alternative” to SLS. The primary plaintiffs asserted in the class action lawsuit SCS include a substantial level of SLS.
Lead plaintiffs asserted Honest Company charged premium prices for fraudulently marketed products. The Honest Company, Inc has agreed to settle the six class action lawsuits and set up a fund of$1.55 million. Although the company has agreed to the class action settlement, it continues to deny all of the allegations presented in the six class action lawsuits. Honest Company settled the class action lawsuits to avoid the high costs associated with protracted litigation
What You Need To Know About The Honest Company Sodium Lauryl Sulfate (SLS) Class Action Settlement
According to class counsel, eligible class members of the Honest Company class action settlement “all U.S. residents who purchased (and did not subsequently return) between Jan. 17, 2012 and Aug. 2, 2017 Honest multi-surface cleaner (regular and concentrate), Honest dish soap (regular and concentrate), and Honest laundry detergent.” Class members have until November 15, 2017 to opt out of the class action settlement or dispute any provisions of the agreement. The potential award depends on the total amount paid for the deceptively advertised products and whether class members can verify claims. Eligible class members can receive a cash payment or settlement credits that class members use at Honest.com. Proof of purchase, such as a sales receipt, is required for submission to the claims administrator, along with a valid and timely claim form.
Qualifying class members have until November 15, 2017 to submit a valid claim form. The judge presiding over the class action settlement case The Honest Company Inc., Sodium Lauryl Sulfate (SLS) Marketing & Sales Practices Litigation, Case No. 2:16-ML-02719 AB (RAOx), in the U.S. District Court for the Central District of California, Western Division has scheduled the final hearing on December 15, 2017. To learn what transpired at the final hearing, visit the class action settlement website www.SLSSettlement.com. The class action settlement website also posts updates about the amount of the potential award.