New Balance False Advertising Essay Sample

📌Category: Business, Corporation
📌Words: 402
📌Pages: 2
📌Published: 09 June 2022

In January of 2011 New balance was sued for false advertisement. The lawsuit, filed “Monday in the U.S. District Court in Boston, calls New Balance’s marketing claims that the shoes increase muscle activation and calorie burn “false, misleading, and reasonably likely to deceive the public.” (Fashion Network, lines 1-2). The New Balance lawsuit lasted until a settlement was mailed on August 21st, 2013, and this is what happened at that time.   

On January 4th of 2011, a Los Angeles woman sued New Balance for false advertising. As told by Goodison “The latest lawsuit alleges that New Balance’s assertions that the shoes increase calorie-burning – resulting in more toned muscles and a slimmer physique – are not supported by scientific studies” (lines 12-14). New balance also stated that the shoes were going to burn 8 more calories per hour than regular shoes. “A federal judge has preliminarily certified and tentatively approved a class action lawsuit settlement with New Balance that will require the company to pay consumers $2.3 million to settle false advertising claims that the shoes strengthen muscles and burn calories” (Sarah lines 1-4). Due to false claims by other brands they also had to pay. This is explained by Hines, “Both Skechers and Reebok have recently been ordered by the Federal Trade Commission to pay settlements to duped consumers. In May of this year, Skechers agreed to pay $40 million in consumer refunds; in September of 2011, Reebok agreed to pay $25 million over its EasyTone shoes” (par 6 lines 1-4).   

Overall New balance saw the chance to sell a very marketable shoe at this time, this cost them millions and hurt the reputation of their brand. False advertising has cost many brands millions of dollars even if they did not mean for people to take the claims seriously for example “Red Bull is paying out a settlement to disgruntled customers who believed the popular energy drink would—as its advertising suggests—give them wings” (line 1-2). False advertising can cost millions of dollars and is a serious matter.   

Hines, Alice. “New Balance Pays Fat Settlement to People Its Shoes Did Not Slim.” HuffPost, HuffPost, 29 Aug. 2012, https://www.huffpost.com/entry/new-balance-toning-shoe-settlement_n_1839537. 

US, FashionNetwork.com. “Lawsuit Accuses New Balance of False Walking Shoe Ads.” FashionNetwork.com, 10 Jan. 2011, https://us.fashionnetwork.com/news/Lawsuit-accuses-new-balance-of-false-walking-shoe-ads,509959.html. 

29, Sarah Mirando August. “$2.3 Million New Balance Toning Shoe Settlement Reached.” Top Class Actions, Top Class Actions, 13 Mar. 2021, https://topclassactions.com/lawsuit-settlements/lawsuit-news/23-million-new-balance-toning-shoe-settlement-reached/. 

Goodison, Donna. “New Balance 'Firmly behind' Benefits of Sneaker Line.” Boston Herald, Boston Herald, 18 Nov. 2018, https://www.bostonherald.com/2011/01/05/new-balance-firmly-behind-benefits-of-sneaker-line/. 

Jensen, K Thor. “Red Bull Paying out to Customers Who Thought It Would Actually Give Them Wings.” Newsweek, Newsweek, 22 Aug. 2019, https://www.newsweek.com/red-bull-lawsuit-canada-1455780.

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