The reason for the payout is that HP was accused of using misleading pricing to make shoppers think they were getting bigger discounts than they actually were.
According to the lawsuit, HP often displayed products with fake “original” prices, using strike-through text and messages like “Save $100 instantly”. These higher prices made it seem like the customer was getting a great deal, but in many cases, the product was almost never sold at the supposed original price.
One example in the case involved a customer who bought an HP All-in-One computer for $899.99. HP advertised it as being marked down from $999.99, but court documents said the same computer had already been selling for $899.99 for months before the purchase, meaning the “discount” was not real. I’m witnessing similar practices all the time, and it’s sickening. Companies just take advantage of people who do not keep an eye on electronics’ prices.
This is what the HP online shop looks like today. | Image source – HP
The lawsuit also accused HP of using false urgency to push people to buy. Some product pages claimed there were only one or two units left or that the deal was for a limited time only. However, the products often stayed available well beyond the supposed deadline or quantity limit. According to the complaint, this strategy was designed to pressure customers into making quick decisions, thinking they might miss out.
Although HP has not admitted to any wrongdoing, the company agreed to the $4 million settlement. That money will go into a fund that pays out to eligible customers, covers legal fees, and provides up to $5,000 each to the two people who first filed the lawsuit.
The exact amount each person will receive depends on which products they bought, with a list of eligible items including models from HP’s Spectre, Envy, and Pavilion lines, as well as certain keyboards and wireless mice.
