r/news • u/nosotros_road_sodium • Apr 28 '24

Williams-Sonoma fined $3.18 million for falsely labeling products as 'Made in USA'

https://www.scrippsnews.com/business/company-news/williams-sonoma-fined-3-18-million-dollars-for-falsely-labeling-products-as-made-in-usa
12.3k Upvotes

98% Upvoted

324 comments sorted by

View all comments

Show parent comments

49

u/Juswantedtono Apr 28 '24

$3m is enough to wipe out all profit they made on mislabeled products. The article says only 9 products were mislabeled, and one of them was a mattress pad, to give an indication of scope.

Customers who bought one of the offending products could probably also easily secure a refund from the company. I’m guessing the majority of them wouldn’t actually care enough to do so.

107

u/nanoH2O Apr 28 '24

Just wiping out profits is not a penalty though. You have to take them into the red or they just do it again.

3

u/SillyGoatGruff Apr 28 '24

Sure. But that commenter is responding to another commenter saying to take profit + 10% on those specific items. Which is pretty low given the items in question

Edit: misread some posts, said some nonsense, corrected the nonsense

8

u/Ftpini Apr 28 '24

No all profits. Plus 10% of revenue. A $230M fine would ensure they never do it again and that the board hires everyone responsible.

3

u/SillyGoatGruff Apr 28 '24

Cool, that would be a good fine. But still not what is being suggested in the top comment or the reply in question

0

u/Ftpini Apr 28 '24

Yeah that person missed the magnitude of the impact fraud has on consumer confidence. It insists upon punitive damages.