In, "Groupon Accused Of Offering Bogus Small-Biz Discounts" (Law360, December 21, 2022), Law360 discusses a class action filed against Groupon alleging the online coupon company of falsely advertising their businesses and Groupon's discounts to draw in clicks, while confusing potential customers and tarnishing the businesses' reputation. The lawsuit states: "Small businesses do not exist to line the pockets of tech companies."
Raphael Janove, a partner of the firm, is representing the businesses in the lawsuit. The seven-count complaint asserts a common law unfair competition claim and multiple violations of the Lanham Act, violations of the Illinois Consumer Fraud and Deceptive Business Practices Act, the Illinois Deceptive Trade Practices Act, the New Jersey Unfair Competition Act and the California Unfair Competition Law.
Janove notes that technology companies can't misappropriate the hard-earned reputation of small businesses while inaccurately describing their services to generate profits for itself.
Pollock Cohen has filed similar Lanham Act proposed class actions in New York federal court against online discount companies ClassPass Inc. and Giftly.
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