Information and Alerts
Important Information
This business is BBB Accredited.
BBB has determined that Kohl's Corporation meets BBB accreditation standards, which include a commitment to make a good faith effort to resolve any consumer complaints. BBB Accredited Businesses pay a fee for accreditation review/monitoring and for support of BBB services to the public.
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Additional Info
Kohl's, based in Menomonee Falls, Wisconsin operates 1,100+ department stores nationwide.
Government Actions
The following describes a pending government action that has been formally brought by a government agency but has not yet been resolved. We are providing a summary of the government’s allegations, which have not yet been proven.
On December 8, 2016, the Los Angeles City Attorney filed a lawsuit against Kohl's Department Stores, Inc.,alleging that Kohl's employs false reference pricing by falsely claiming that their merchandise previously sold at much higher prices in order to create a sense of value at the sale prices.
Under California Law, retailers are not permitted to advertise a former price of an item unless that price was the prevailing market price within three months of the advertisement, or unless the date of the former price is disclosed.
The lawsuit seeks injunctions prohibiting Kohl's from further use of false reference pricing and civil penalties.
Government Actions
The following describes a government action that has been resolved by either a settlement or a decision by a court or administrative agency. If the matter is being appealed, it will be noted below.
Thursday May 5, 2022,
Today, the Department of Justice, together with the Federal Trade Commission (FTC), announced that Kohl’s Inc. (Kohl’s) and Walmart Inc. (Walmart) have agreed to pay $2.5 million and $3 million in civil penalties, respectively, in as part of settlements to resolve allegations that Kohl’s and Walmart violated the Textile Fiber Products Identification Act (Textile Act) and associated rules (Textile Rules) and the Federal Trade Commission Act (FTC Act) by making deceptive claims about products supposedly made of bamboo.
In complaints filed in the U.S. District Court for the District of Columbia, the government alleged that since 2015, Kohl’s and Walmart violated the Textile Act and Rules and the FTC Act by advertising products as made of bamboo when such products were actually made of rayon and did not contain bamboo fibers. The complaints also alleged that Walmart and Kohl’s made deceptive claims that their products supposedly made of bamboo were environmentally friendly, and that Kohl’s further claimed such products were produced free of harmful chemicals, when in fact rayon is produced using a chemical process that requires toxic chemicals and results in the emission of hazardous pollutants. Kohl’s and Walmart did so even though, in 2010, both had received letters from the FTC warning them that improperly advertising products made of rayon as bamboo violated the Textile Rules and FTC Act.
The stipulated orders require Kohl’s to pay $2.5 million and Walmart to pay $3 million in civil penalties. The orders also bar Kohl’s and Walmart from making misleading or unsubstantiated claims that products are made of bamboo or provide environmental benefits because they are derived from bamboo. More generally, the orders bar Kohl’s and Walmart from advertising textiles comprised of manufactured fibers in a way that is false or deceptive as to their constituent fibers and requires them to satisfy ongoing recordkeeping, certification and compliance obligations.
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