Lularoe

Former LuLaRoe Consultants Suing for “Billions” in New Lawsuit

In a Federal Court in March, attornies for a group of consultants provided the sordid details in the class-action filing. According to the suit, LuLaRoe is a fraudulent pyramid scheme that preys on stay-at-home mothers. The company promotes the business as a way for mothers to make extra income for their families. LuLaRoe recruits women to join the company and promises that they will be able to sell their clothing. Despite the claims made by the company to recruits, the suit alleges the company ran an illegal pyramid scheme from 2013-mid-2017. Additionally, they allege that LuLaRoe knew the company was an illegal pyramid scheme while they recruited women to join the company. From the company’s inception until at least mid-2017, LuLaRoe paid the majority of their commissions and bonuses on the recruitment of new members. New members purchased start-up packages ranging from $5,000 to $9,000.00.



LuLaRoe Faces Lawsuits Over Quality Concerns, Business Practices

In early April 2017, LuLaRoe (a women’s leisurewear brand popular on social media) made headlines for a growing number of consumer complaints, including a lawsuit brought by disgruntled customers of the brand. Good Housekeeping reported that complaints about LuLaRoe appeared to reach a tipping point in March 2017. That month, two LulaRoe customers initiated a class action lawsuit against the …


Class Action Lawsuit Filed Against LuLaRoe – Who It Affects

A class-action lawsuit has been filed against LuLaRoe by a Pennsylvania woman, who alleges that the company has illegally charged thousands of people sales tax on the clothing they have purchased. She herself claims to have bought a dozen pieces of LuLaRoe clothing, and since there is no sales tax on clothing in Pennsylvania, she says that she has been charged illegal taxes. According to Saving …


Fashion Marketer LuLaRoe Sued Over Sales Tax Charges

LuLaRoe, a multilevel marketer of brightly colored women’s fashions whose popularity has surged in recent years — especially among millennials who sell the wares at home gatherings or in online forums — is facing a federal lawsuit accusing it of collecting sales taxes from customers in states that don’t levy one on clothing. The company also is facing criticism over the quality of its …