Multi-Level Marketing

Published on November 7th, 2017

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Lawsuits Against LuLaRoe Keep Mounting

In the past three weeks, LuLaRoe has been hit with at least four federal class actions alleging that the company is a pyramid scheme and/or claiming that it has engaged in deceptive and unfair practices with regard to its return policy. The complaints are coming in so quickly that it’s hard to keep up. Below are the federal cases that TINA.org is currently tracking. For more coverage of LuLaRoe, click here.

Case Name
(Court, Date Filed)
Claim Status
Rocke v. LuLaRoe
(C. D. CA., Nov. 2017)
Pyramid Scheme Allegations Voluntarily dismissed***
Atkinson v. LuLaRoe
(C. D. CA., Nov. 2017)
Pyramid Scheme Allegations Voluntarily dismissed***
Patton v. LuLaRoe
(C. D. CA., Nov. 2017)
Issues with Return Policy Voluntarily dismissed***
Haskett v. LuLaRoe
(C. D. CA., Oct. 2017)
Pyramid Scheme Allegations Voluntarily dismissed***
Berry v. LuLaRoe
(C. D. CA., October 2017)
Pyramid Scheme Allegations Voluntarily dismissed***
Lemberg v. LuLaRoe
(C. D. CA., Oct. 2017)
Issues with Return Policy and Pyramid Scheme Allegations*** Stayed pending arbitration
Heinichen v. LuLaRoe
(C. D. CA., May 2017)
Defective Leggings Consolidated with similar lawsuits**
Mack v. LuLaRoe
(C. D. CA., May 2017)
Defective Leggings Pending**
Doran v. LuLaRoe
(C. D. CA., Apr. 2017)*
Defective Leggings Consolidated with similar lawsuits**
Goodwin v. LuLaRoe
(C. D. CA., Mar. 2017)*
Defective Leggings Consolidated with similar lawsuits**
Dean v LuLaRoe
(C. D. CA., Mar. 2017)
Defective Leggings Consolidated with similar lawsuits**
Webster v. LuLaRoe
(W. D. PA., Feb. 2017)
Issues with Sales Tax Pending

*Case was originally filed in state court and transferred to federal court

** Five similar lawsuits (Heinichen, Mack, Doran, Goodwin, and Dean) were consolidated and a Consolidated Class Action Complaint was filed. (In Re LuLaRoe, LLC, Leggings Marketing, Sales Practices and Products Liability Litigation, Case No. 17-cv-853, C. D. CA.).

*** The named plaintiffs in the Atkinson, Berry, Haskett, Patton, and Rocke cases were added to the Lemberg v. LuLaRoe class action that was amended in January 2018. The Lemberg amended complaint also added pyramid scheme allegations.

Update 4/23/18 – chart was updated.

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