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Luxury fashion house Hermès has been accused of “unfair business practices” related to how they sell Birkin handbags, according to a class action lawsuit.
The two California plaintiffs alleged that to purchase a Birkin, Hermès required customers to buy other “ancillary products” — such as “shoes, scarves, belts, jewelry and home goods” — before getting the opportunity to buy the coveted, chronically unavailable handbag, which is sold in limited colorways, sizes and supply only at Hermès boutiques.
To be allowed to purchase a Birkin, the suit claims, customers must have accrued “a sufficient purchase history” with the French brand. Once achieved, the lawsuit alleged that “customers who are deemed worthy” are then offered a Birkin, which is allegedly not on public display, in a private room.
“The unique desirability, incredible demand and low supply of Birkin handbags gives Defendants incredible market power,” attorneys wrote in their filing.
The lawsuit, which was filed Tuesday, claims that Hermès’ alleged “tying” practices violate US antitrust laws and accused the fashion house of devising “a scheme” to exploit their market power, which drove up the price of a Birkin and increased profits.
Read more at
#hermes #lawsuit #birkin
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