
Carvana’s ‘7-Day Money-Back Guarantee’
Is it still a money-back guarantee if you end up paying hundreds of dollars?
February 2021: The Ninth Circuit Court of Appeals reversed the district court’s decision to dismiss this case concluding that the question of whether reasonable consumers are likely to be deceived by the marketing at issue is a question of fact that is not appropriate to be decided on a motion to dismiss, and that the allegations in the complaint are plausible. The case was remanded for further proceedings.
February 2020: The named plaintiff filed a Notice of Appeal regarding the January dismissal. (Case No. 20-55138, 9th Cir.)
January 2020: The Court found that reasonable consumers would know that menu items with “Krab Mix” do not contain any real crab meat and dismissed this case.
November 2019: This case was transferred from state court to federal court. (Case No. 19-cv-2252, C.D. Cal.)
October 2019: A class-action lawsuit was filed against P.F. Chang’s China Bistro for allegedly misleadingly advertising that items on its menu – including its Kung Pao Dragon Roll, Shrimp Tempura Roll, and California Roll – contain “Krab Mix” when, according to plaintiffs, the food does not contain any crab meat. (Kang et al v. P.F. Chang’s China Bistro, Inc., Case No. CIVDS1931220, California State Court – San Bernardino)
Is it still a money-back guarantee if you end up paying hundreds of dollars?
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