[Editor-in-Chief]

Federal Court Sustains Consumer Fraud Claims Against Hollywood Tans

April 24 2007

A federal judge has sustained nationwide consumer fraud claims asserted against Hollywood Tans concerning their alleged deceptive marketing.

In the class action lawsuit Nafar v. Hollywood Tanning Systems, Inc., the Firm recently defeated defendant's motion to dismiss the Complaint.

The suit seeks to redress the national chain of indoor tanning salons' deceptive marketing which promotes the alleged health benefits of indoor tanning, yet fails to warn consumers about the cancer risks associated with its tanning machines.

In its motion to dismiss, Hollywood Tanning argued that it does not need to disclose the dangers of indoor tanning because this information is common knowledge, akin to the health risks associated with excessive consumption of McDonald's.

The Court rejected this argument and ruled that what the average consumer knows about the ill effects of indoor tanning is an issue to be resolved at trial.

Hollywood Tanning also argued that this case was a products liability case, which would provide it certain statutory defenses and preclude the class from making a claim under the New Jersey Consumer Fraud Act, which allows for treble damages and attorneys' fees.

Again, the Court rejected defendant's argument, ruling that this case is not a products liability action as the class is not claiming harm for any physical injuries, but only economic damages resulting from purchasing services that it would not have, had Hollywood Tanning disclosed the dangers of its indoor tanning services.

The case will now proceed to class certification discovery and our motion to have the action certified as a nationwide class.

The matter is being handled by Jeff Carton, John D'Amico, and Jerome Noll.

Source