Washington attorney general files lawsuit against LulaRoe for an apparent pyramid scheme
Feb 11, 2019 09:37 AM EST
The Better Business Bureau has updated the business profile for online retailer LuLaRoe after the State of Washington Attorney General's offices filed a lawsuit against the multi-level marketing business.
The lawsuit alleges that the company's former business structure constituted a pyramid scheme. The lawsuit also asserts that LuLaRoe's claims regarding sustainability, profitability, and inventory refunds are unfair and deceptive.
LuLaRoe is a California based marketing business that sells leggings and other apparel. The company is made up of individual retailers who sell the company's clothing, referred to as "Independent Fashion Consultants".