Legal

Apple Violated Antitrust Law by Conspiring to Raise E-Book Prices, Judge Rules
July 10, 2013

In a decision that could reshape how books are sold on the internet, a federal judge ruled that Apple Inc. conspired to raise the retail prices of e-books in violation of antitrust law, and called for a trial on damages. The decision by U.S. District Judge Denise Cote in Manhattan is a victory for the U.S. government and various states, which the judge said are entitled to injunctive relief. Apple had been accused of colluding with five publishers to boost e-book prices beginning in late 2009, as the company was preparing to launch its popular iPad tablet.

lululemon Sued for Fraud in Yoga Pants Fiasco
July 8, 2013

A lawsuit has been filed against lululemon athletica, accusing it of defrauding shareholders by hiding defects in yoga pants whose sheerness led to a costly product recall, as well as concealing talks that led to the sudden departure of its chief executive, Christine Day. The lawsuit was filed by shareholder Houssam Alkhoury in Manhattan District Court. It names Day and company founder/chairman Dennis Chip Wilson and seeks class-action status for shareholders between March 21, when full-year results were announced, and June 10. 

Ex-Tiffany Executive Charged in $1.3M Jewel Theft
July 3, 2013

A former Tiffany & Co. executive was charged with stealing jewelry from the company and selling it for $1.3 million. Ingrid Lederhaas-Okun, 46, a former Tiffany vice president, was arrested yesterday at her home in Darien, Conn., and charged with wire fraud and interstate transportation of stolen property, according to a statement from the office of U.S. Attorney Preet Bharara in Manhattan. Prosecutors claim that from January 2011 to February 2013, Lederhaas-Okun checked out 165 pieces of jewelry, including diamond bracelets, platinum and gold earrings, and platinum and diamond pendants, then sold them to an unnamed jewelry reseller in Manhattan. 

Hobby Lobby Scores a Victory in Health Care Debate
July 1, 2013

Hobby Lobby and a sister company will not be subject to $1.3 million in daily fines beginning Monday for failing to provide access to certain forms of birth control through its employees' health care plans, a judge ruled Friday. U.S. District Judge Joe Heaton set a hearing for July 19 to address claims by the owners of Hobby Lobby and the Mardel Christian bookstore chains that their religious beliefs are so deeply rooted that having to provide every form of birth control would violate their conscience.

Reaction to Marketplace Fairness Act Editor's Note
July 1, 2013

Here's a sampling of the reaction that we received regarding last issue's Editor's Note, which focused on the highly controversial Marketplace Fairness Act (i.e., the online sales tax law) that's currently being debated in Congress. To view all the letters we received, as well as the full-length versions of the letters printed below, go to RetailOnlineIntegration.com and search under the "The Magazine" tab.

Macy's Fined for Worker Mistreatment
June 28, 2013

Macy's will pay $175,000 in civil penalties to the U.S. government in an agreement with the Department of Justice (DOJ) settling claims of mistreatment of immigrant workers. In addition to paying the $175,000 fine, Macy's will also revise its employment eligibility reverification policies and procedures, as well as provide training to its human resources personnel across the country on the anti-discrimination provision of the Immigration and Naturalization Act (INA). In addition, Macy's will create a $100,000 fund to compensate any individuals who suffered lost wages or loss of seniority as a result of its practices.

The Marketplace Fairness Act: Should You Join the Fight to Defeat it?
June 25, 2013

I don't often get invited to meet with politicians about pending legislation, but next week I will have the opportunity to sit down with Congresswoman Rosa DeLauro to discuss the Marketplace Fairness Act. In preparation for the meeting, I asked Terri Alpert, an active opponent of the bill, to educate me about what's at stake for small businesses. Alpert is a well-respected CEO who has built two top-shelf brands (Uno Alla Volta and Artisan Table) that do over $14 million in sales, and employ more than 50 people year-round. If this bill has her spooked, I need to know why.

Ross Stores Pays $3.9M Fine for Defective Kids Clothing
June 24, 2013

Ross Stores has agreed to pay a $3.9 million fine to the Consumer Product Safety Commission for neglecting to inform the commission within a mandated 24-hour period that it sold or stocked in stores roughly 23,000 pieces of children's apparel with drawstrings located at the neck or waist between January 2009 and February 2012.