The legal complaint, lodged in U.S. District Court in Seattle, claims that Costco’s online checkout process displays a shipping cost of “$0.00,” giving customers the impression that shipping is complimentary when, in fact, the expense is rolled into the product price.
According to Costco’s customer support documentation, online prices may encompass shipping and handling charges, potentially resulting in higher costs compared to the prices at physical warehouse locations. However, the lawsuit contends that these disclosures are not prominently featured during the checkout process or on product pages.
The lawsuit was initiated by Christina Zaimi, a Costco member from California, who alleges that she was under the impression that shipping was free when she purchased furniture through Costco.com. Zaimi paid $2,399.99 for a couch online, while the same item was available for $2,099.99 in-store, with the lawsuit claiming that the additional $250 was allocated for shipping expenses.
Costco has faced similar legal challenges in the past, such as a previous lawsuit where a customer accused the company of advertising free delivery while inflating online prices compared to in-store rates. Despite Costco’s argument that shipping costs are integrated into online prices and clearly disclosed on support pages, plaintiffs argue that the information provided is insufficient.
In the latest case, Zaimi is seeking to represent a national class of Costco customers who have purchased products online under the impression of free or “$0.00” shipping. The lawsuit alleges violations of consumer protection laws, breach of contract, and unjust enrichment due to deceptive pricing practices.
GeekWire reached out to Costco for a response to the recent complaint and will update the article with any comments from the company.
