Case 2:16-cv Document 1 Filed 04/07/16 Page 1 of 62 Page ID #:1

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1 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 SULLIVAN, KRIEGER, TRUONG, SPAGNOLA & KLAUSNER, LLP Adam M. Tamburelli, State Bar No. 00 adam@sullivankrieger.com Eliot F. Krieger, State Bar No. eliot@sullivankrieger.com Charles T. Spagnola, P.C., State Bar No. charles@ sullivankrieger.com West Ocean Boulevard, Suite 00 Long Beach, CA 00 Telephone: () -00 ZIMMERMAN LAW OFFICES, P.C. Thomas A. Zimmerman, Jr. (pro hac vice anticipated) tom@attorneyzim.com Maebetty Kirby (pro hac vice anticipated) maebetty@attorneyzim.com W. Washington Street, Suite 0 Chicago, Illinois 00 Telephone: () Attorneys for Plaintiffs Mario Aliano and Alan Klarik UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF CALIFORNIA 0 MARIO ALIANO and ALAN KLARIK, individually, and on behalf of all others similarly situated, Plaintiffs, vs. THE HONEST COMPANY, INC. Defendant. ) ) ) ) ) ) ) ) ) ) ) ) ) Case No. FOR:. Violation of the California Consumer Legal Remedies Act;. Violation of the California Unfair Competition Law;. Violation of the California False Advertising Law;. Violation of the Illinois Consumer Fraud and Deceptive Trade Practices Act;. Violation of the Consumer Fraud and Deceptive Trade Practices Acts of the Various States and District of Columbia;. Common Law Fraud;. Fraudulent Misrepresentation;. Violation of the Song-Beverly Consumer Warranty Act;. Breach of Express Warranty; and 0. Unjust Enrichment. DEMAND FOR JURY TRIAL

2 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Plaintiffs MARIO ALIANO ( Aliano ) and ALAN KLARIK ( Klarik ), individually, and on behalf of all others similarly situated, by and through counsel, bring this Class Action Complaint ( Complaint ) against Defendant THE HONEST COMPANY, INC. ( Defendant or Honest Company ), as follows: INTRODUCTION. Plaintiffs bring this suit individually and on behalf of a Class of similarly situated individuals who purchased Honest Company Laundry Detergent, Honest Company Dish Soap, and/or Honest Company Multi-Surface Cleaner (collectively, Honest Products ).. This case arises out of Defendant s misrepresentations that Honest Products do not contain sodium lauryl sulfate ( SLS ), a harsh chemical found in many cleaning supply products. Defendant s marketing materials for Honest Products, including Defendant s website and the labels of certain products, represent that Honest Products are Honestly FREE of SLS and are safer for human skin than other cleaning products that contain SLS.. Honest Products are manufactured by using the chemical sodium cocoa sulfate ( SCS ). Defendant misrepresents to consumers that cleaning products made with SCS are a gentler alternative to those made with SLS, when,

3 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 in fact, SLS is a major component of SCS. Honest Products manufactured with SCS, therefore, necessarily contain SLS.. By misrepresenting the key ingredients in its products, Defendant engaged, and still engages in, business practices that are unlawful, unfair, and deceptive because consumers reasonably rely on Defendant s material misrepresentations to their detriment.. Plaintiffs, individually and on behalf of the proposed class, seek restitution and other equitable, injunctive, declaratory, and monetary relief, as set forth below. PARTIES 0. Plaintiff Aliano is a natural person and resident and citizen of Illinois.. Plaintiff Klarik is a natural person and resident and citizen of California.. Defendant THE HONEST COMPANY is a Delaware corporation with its principal place of business in Santa Monica, California, that does business nationwide, including in the states of California and Illinois. JURISDICTION AND VENUE. Jurisdiction over Defendant is proper because it conducts business within this District. Defendant s principle place of business is in this District.

4 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: Pursuant to U.S.C., this Court has subject matter jurisdiction over this class action because the amount in controversy exceeds $ million, and some members of the Class, including Plaintiff Aliano, are citizens of states different than Defendant.. Venue is proper pursuant to U.S.C. (b)() because this is the District in which Defendant resides. Venue is further proper pursuant to U.S.C. (b)() because this is the District in which a substantial part of the events or omissions giving rise to the claim occurred. FACTUAL ALLEGATIONS The Chemical SLS. SLS is a harsh chemical that has been found to cause irritation to the skin and face. SLS can be harmful because it removes protective oils from the skin. Consumers exposed to SLS can experience varying degrees of irritation to different concentrations of SLS based on their disposition, and exposure to SLS may worsen skin problems for those with chronic skin hypersensitivity.. Defendant s own website includes a blog post urging consumers to avoid products that contain SLS. Defendant states that SLS is a known irritant. This is so well known, in fact, that it s commonly used in lab testing to See See See id. See

5 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 intentionally harm skin, and [w]idespread concern over the past few years compelled many companies to look for a gentler alternative.. Due to the risk of skin irritation or other harm, consumers value laundry detergent, dish soap, surface cleaners, and other cleaning products that do not contain SLS, more than other cleaning supplies that contain SLS or other potentially harmful chemicals.. Therefore, products that do not contain any SLS or other harsh chemicals are worth more than comparable cleaning products that contain SLS.. Consumers rely on the representations of cleaning supply products regarding whether or not those products contain SLS. The absence of SLS has a material bearing on a consumer s decision to buy cleaning supply products, such as Honest Products, that represent that they do not contain SLS or other potentiallyharmful chemicals. The Chemical SCS. SCS is made from palm and coconut oil, and it is a mixture of various chemicals, including SLS. SLS is a major component of SCS. SLS can make up to %, or even a greater percentage, of SCS. See id. (emphasis in original). See See See id.

6 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. Because SLS is a major component of SCS, cleaning products that are made with SCS, such as Honest Products, have the same potential health and safety concerns as products that are made with SLS. Scientists insist that using SCS in place of SLS in the manufacture of household products is just another way to hide SLS in formulations with yet another name. Both sodium coco sulfate and SLS are synthetic detergents and should never be part of any natural cleanser. 0. As a result, cleaning products made with SCS, including Honest Products, contain SLS and are no safer for human skin than other cleaning products that contain SLS. Representing that cleaning products that contain SCS are free of SLS is false, misleading, and scientifically indefensible. Defendant s Deceptive Misrepresentations 0. Despite the fact that Honest Products are made with SCS, and therefore necessarily contain SLS, Defendant misrepresents to consumers that Honest Products do not contain SLS and are safer for human skin than other cleaning products that contain SLS.. Defendant represents, We are serious about being honest stewards of the natural environment and protectors of the (little) people. Therefore, we seek to inspire new solutions, reduce our collective impact, cause no unnecessary harm, See id. 0 See id.

7 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 and make products that are as non-toxic and healthy as possible. representing itself in such a manner, Defendant markets Honest Products to consumers who value products that are eco-friendly, safer for human contact, or are otherwise less harmful to those who interact with them.. Defendant represents that its products come with an Honestly Free Guarantee, which Defendant describes as a core commitment we make to you and your children. And, it s another way for us to be Honest educating, empowering and inspiring people to make better choices for their health and families. Providing clear, credible, transparent information. No smoke and mirrors. No confusion.. The Honestly FREE Guarantee promises, You can rest easy knowing The Honest Company s products are made without health-compromising chemicals or compounds.. Defendant prints a butterfly symbol on the labels of all products to signify the Honestly FREE Guarantee, under which Defendant provides a list of all potentially harmful ingredients of which that product is Honestly FREE and/or Honestly Made Without. // See See See id. By

8 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. With respect to the aforementioned list, Defendant represents, Our list is always growing. While each product has a unique guarantee, as a company, we keep a master list of ingredients we ll never consider for use in anything. Period.. On Defendant s website, SLS is included on Defendant s master list that all of its products are Honestly FREE of and/or Honestly Made Without.. Defendant s website insists, SLS and [a similarly harmful chemical] SLES are both included in our Honestly Free Guarantee which means we ll never use them. We ve switched over to sodium cocoa sulfate (SCS), which is a gentler alternative always derived from coconut. Honest Detergent. At all relevant times, Defendant was responsible for the packaging, labeling, distribution, and sale of the Honest Company Laundry Detergent product ( Honest Detergent ).. The label on the back side of Honest Detergent contains the symbol for Defendant s Honestly Free Guarantee, and the label explicitly states, Honestly FREE of: SLS. // See id. See id. See (emphasis in original).

9 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: On Defendant s website, Defendant represents that Honest Detergent is effective hypoallergenic laundry detergent, that it is made without harsh chemicals, and it is perfect for babies and sensitive skin. Honest Detergent s page on Defendant s website includes an Honestly Free Guarantee section, under which Defendant states that Honest Detergent is made without: SLS.. Honest Detergent is manufactured using SCS. Because SLS is a major component of SCS, Honest Detergent contains SLS, contrary to Defendant s representations.. Additionally, two independent lab tests commissioned by the Wall Street Journal reveal that Honest Detergent contains a significant amount of SLS. Chemists at Chemir, one of the labs that conducted one of these tests, found that the SLS was not a trace amount, and that Honest Detergent contained the same concentration of SLS as Tide. Honest Dish Soap. At all relevant times, Defendant was responsible for the packaging, labeling, promotion, distribution, and sale of the Honest Company Dish Soap product ( Honest Dish Soap ). SODIUM COCO SULFATE (COCONUT-BASED CLEANSER) is listed in the Ingredients on Honest Detergent s label. See See id.

10 Case :-cv-0 Document Filed 0/0/ Page 0 of Page ID #:0 0. The label on the back side of Honest Dish Soap contains the symbol for Defendant s Honestly Free Guarantee, and the label explicitly states, Honestly FREE of: SLS.. On Defendant s website, Defendant represents that Honest Dish Soap contains No harsh chemicals (ever!) and is safe. Honest Dish Soap s page on Defendant s website includes an Honestly Free Guarantee section, under which Defendant states that Honest Dish Soap is made without: SLS.. Honest Dish Soap is manufactured using SCS, 0 and all three () scents of Honest Dish Soap have SCS as an ingredient. Because SLS is a major component of SCS, Honest Dish Soap contains SLS, contrary to Defendant s representations. Honest Cleaner 0. At all relevant times, Defendant was responsible for the packaging, labeling, promotion, distribution, and sale of the Honest Company Multi-Surface Cleaner product ( Honest Cleaner ).. On Defendant s website, Defendant represents that Honest Cleaner is a naturally fresh way to safely clean and remove dirt and buildup, and Honest Cleaner contains no harsh chemicals (ever!) and is non-toxic for you and your family. Honest Cleaner s page on Defendant s website includes an Honestly 0 SODIUM COCO SULFATE (COCONUT-BASED CLEANSER) is listed in the Ingredients on Honest Dish Soap s label. 0

11 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Free Guarantee section, under which Defendant states that Honest Cleaner is made without: SLS.. Honest Cleaner is manufactured using SCS. Because SLS is a major component SCS, Honest Cleaner contains SLS, contrary to Defendant s representations. Defendant s Business Practices Are Unlawful and Unfair 0. Defendant s representations to consumers that cleaning supply products made with SCS, including Honest Products, are a gentler alternative to SLS or are in any way less harmful for human skin than other cleaning supply products that contain SLS are grossly misleading because SLS, in fact, is a major component of SCS. By making such misrepresentations, Defendant intentionally deceived consumers so that consumers would purchase Honest Products, believing that Honest Products do not contain SLS and are safer than other cleaning supply products that do.. Defendant willfully misrepresented that its products do not contain SLS knowing that consumers, including Plaintiffs and Class members, would reasonably rely on Defendant s misrepresentations, including those on Defendant s website and on the labels of Honest Detergent and Honest Dish Soap. // SODIUM COCO SULFATE (COCONUT-BASED CLEANSER) is listed in the Ingredients on Honest Cleaner s label.

12 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. Further, Defendant omits material facts to consumers, including the fact that Honest Products contain SLS, that SLS is a major component of SCS, and that Honest Products, which are made with SCS, are not safer for human skin than other cleaning products that contain SLS. Defendant s omissions are substantially unfair to consumers because consumers are grossly misled as to the ingredients and safety of Honest Products without knowledge of the material facts that Defendant has intentionally omitted.. Accordingly, consumers, including Plaintiffs and Class members, who purchased Honest Products believing them to be SLS-free and less harmful than cleaning products that contain SLS have been harmed because they overpaid for the products and would not have purchased the Honest Products had they known that the products contained SLS. Facts Relevant to Plaintiffs. Plaintiff Aliano purchased Honest Products, including Honest Detergent, Honest Dish Soap, and Honest Cleaner in the state of Illinois.. Plaintiff Klarik purchased Honest Products, including Honest Detergent, Honest Dish Soap, and Honest Cleaner in the state of California in this District. // //

13 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. Plaintiffs viewed and relied upon Defendant s foregoing representations that Honest Products do not contain SLS and are safer for human skin than other cleaning products that contain SLS, and Plaintiffs relied on Defendant s failures to inform the public that the Honest Products contain SLS and that Honest Products are not safer for human skin than other cleaning products that contain SLS.. Because Plaintiffs were purchasing products that were labeled or otherwise marketed and advertised as not containing SLS and being safer than other cleaning products that contained SLS, they reasonably believed that Honest Products, in fact, did not contain SLS and were safer for human skin than cleaning products that contain SLS.. It was reasonable for Plaintiffs to rely on Defendant s representations that Honest Products do not contain SLS and are safer for human skin than other cleaning products that contain SLS, as well as Defendant s failure to inform the public that the Honest Products contained SLS, in deciding to purchase the Honest Products.. Based on Defendant s representations that Honest Products do not contain SLS and that Honest Products are safer for human skin than other cleaning products that contain SLS, and on Defendant s failure to inform the public that

14 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Honest Products contain SLS, Plaintiffs paid a premium for Honest Products over and above comparable products that do not claim to be SLS-free. 0. Had Plaintiffs known that Honest Products contain SLS and that Honest Products are not safer for human skin than comparable cleaning products, they would not have purchased Honest Products, or they would have paid substantially less for them. As a result, Plaintiffs have suffered damages, including the amount of money they paid to purchase Honest Products because they received products that were worth less than what they paid.. In addition to monetary damages, Plaintiffs seek injunctive relief to stop Defendant from engaging in unlawful, unfair, and deceptive business practices by misrepresenting that Honest Products are SLS-free and safer for human skin than other cleaning products that contain SLS. CLASS ALLEGATIONS. Class Definition: Plaintiffs bring this action pursuant to Fed. R. Civ. P. Rule, on behalf of a nationwide class of similarly situated individuals and entities ( the Class ), defined as follows: All persons in the United States who purchased Honest Company Laundry Detergent, Honest Company Dish Soap, and/or Honest Company Multi-Surface Cleaner. Excluded from the Class are: () Defendant, Defendant s agents, subsidiaries, parents, successors, predecessors, and any entity in which Defendant or its parents have a controlling interest, and those entities current and former employees, officers, and directors; () the Judge to whom this case is assigned and

15 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 the Judge s immediate family; () any person who executes and files a timely request for exclusion from the Class; () any persons who have had their claims in this matter finally adjudicated and/or otherwise released; and () the legal representatives, successors and assigns of any such excluded person.. Plaintiff MARIO ALIANO also brings this action pursuant to Fed. R. Civ. P. Rule, on behalf of a subclass of similarly situated individuals and entities ( the Illinois Subclass ), defined as follows: All persons who purchased Honest Company Laundry Detergent, Honest Company Dish Soap, and/or Honest Company Multi-Surface Cleaner in the state of Illinois. Excluded from the Illinois Subclass are: () Defendant, Defendant s agents, subsidiaries, parents, successors, predecessors, and any entity in which Defendant or its parents have a controlling interest, and those entities current and former employees, officers, and directors; () the Judge to whom this case is assigned and the Judge s immediate family; () any person who executes and files a timely request for exclusion from the Illinois Subclass; () any persons who have had their claims in this matter finally adjudicated and/or otherwise released; and () the legal representatives, successors and assigns of any such excluded person.. Plaintiff ALAN KLARIK also brings this action pursuant to Fed. R. Civ. P. Rule, on behalf of a subclass of similarly situated individuals and entities ( the California Subclass ), defined as follows: All persons who purchased Honest Company Laundry Detergent, Honest Company Dish Soap, and/or Honest Company Multi-Surface Cleaner in the state of California. Excluded from the California Subclass are: () Defendant, Defendant s agents, subsidiaries, parents, successors, predecessors, and any entity in which Defendant or its parents have a controlling interest, and those entities current and former employees, officers, and directors; () the Judge to whom this case is assigned and the Judge s immediate family; () any person who executes and files

16 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 a timely request for exclusion from the California Subclass; () any persons who have had their claims in this matter finally adjudicated and/or otherwise released; and () the legal representatives, successors and assigns of any such excluded person.. Numerosity: The Class is so numerous that joinder of individual members would be impracticable. Honest Company Products are sold online and at Target and Costco retail stores nationwide. Defendant s product sales are so widespread that The Honest Company is currently valued at over $. billion. While the exact number of Class members is presently unknown and can only be ascertained through discovery, Plaintiffs believe that there are thousands of Class members, if not more.. Ascertainability: Class members can be easily identified through Defendant s records or by other means. Upon information and belief, Defendant has means by which it can identify customers who bought specific items.. Commonality and Predominance: There are several questions of law and fact common to the claims of the Plaintiffs and members of the putative Class, which predominate over any individual issues, including: a. Whether Honest Products contain SLS; b. Whether Defendant misrepresents that Honest Products do not contain SLS; c. Whether Defendant failed to inform consumers that Honest See See

17 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Products contain SLS; d. Whether SLS is a major component of SCS; e. Whether Defendant failed to inform consumers that SLS is a major component of SCS; f. Whether Honest Products are safer for human skin than other cleaning products that contain SLS; g. Whether Defendant misrepresents that Honest Products are safer for human skin than other cleaning products that contain SLS; h. Whether Defendant warranted to consumers that Honest Products do not contain SLS; i. Whether Defendant breached those warranties; j. Whether Defendant s conduct violates the California Consumer Legal Remedies Act; k. Whether Defendant s conduct violates the California Unfair Competition Law; l. Whether Defendant s conduct violates the California False Advertising Law; m. Whether Defendant s conduct constitutes unfair or deceptive business practices under the Illinois Consumer Fraud and Deceptive Trade Practices Act; n. Whether Defendant violated the Consumer Fraud and Deceptive Trade Practices Acts of the fifty states and the District of Columbia; o. Whether Defendant s conduct constitutes common law fraud; p. Whether Defendant s conduct constitutes fraudulent misrepresentation; q. Whether Defendant s conduct constitutes a breach of warranty under the Song-Beverly Consumer Warranty Act;

18 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Class. r. Whether Defendant s conduct resulted in Defendant unjustly retaining a benefit to the detriment of Plaintiffs and Class members, and violated the fundamental principles of justice, equity, and good conscience.. Typicality: Plaintiffs claims are typical of the claims of the proposed All claims are based on the same legal and factual issues, to wit: Defendant s misrepresentations and omissions regarding whether Honest Products contain SLS.. Adequacy of Representation: Plaintiffs will fairly and adequately represent and protect the interests of the proposed Class. Plaintiffs do not have any interests antagonistic to those of the proposed Class. Plaintiffs have retained competent counsel experienced in the prosecution of this type of litigation. The questions of law and fact common to the proposed Class members predominate over any questions affecting only individual Class members. 0. Superiority: A class action is superior to other available methods for the fair and efficient adjudication of this controversy. The expense and burden of individual litigation would make it impracticable or impossible for proposed Class members to prosecute their claims individually. Individual actions are not economically feasible. manageable. The trial and the litigation of Plaintiffs claims are. Unless a class is certified, Defendant will retain monies received as a result of its conduct that was wrongfully taken from Plaintiffs and Class members.

19 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Unless an injunction is issued, Defendant will continue to commit the violations alleged, and the members of the proposed Class and the general public will continue to be misled.. Defendant has acted and refused to act on grounds generally applicable to the proposed Class, making appropriate final injunctive relief with respect to the proposed Class as a whole. COUNT I (on Behalf of Plaintiffs, the Nationwide Class, and the California Subclass) Violation of the California Consumers Legal Remedies Act (Cal.Civ.Code 0, et seq.). Plaintiffs repeat and re-allege the allegations in Paragraphs - with the same force and effect as though fully set forth herein.. Cal.Civ.Code 0 makes unlawful unfair methods of competition and unfair or deceptive acts or practices undertaken by any person in a transaction intended to result or which results in the sale or lease of goods.. The Consumer Legal Remedies Act shall be liberally construed and applied to promote its underlying purposes, which are to protect consumers against unfair and deceptive business practices and to provide efficient and economical procedures to secure such protection. Cal.Civ.Code 0.. Honest Products are goods as defined by Cal.Civ.Code (a).. Defendant is a person as defined by Cal.Civ.Code (c).

20 Case :-cv-0 Document Filed 0/0/ Page 0 of Page ID #: Plaintiffs and members of the Class are consumers as defined by Cal.Civ.Code (d).. By manufacturing, marketing, and selling Honest Products out of its headquarters in California, Defendant affects commerce and trade within the state of California. 0. Cal.Civ.Code 0(a)() prevents persons from [r]epresenting that goods or services have sponsorship, approval, characteristics, ingredients, uses, benefits, or quantities which they do not have[.]. Defendant engaged, and still engages, in unfair or deceptive acts or practices in violation of Cal.Civ.Code 0(a)() when, in labeling, marketing and selling Honest Products, that Honest Products do not contain SLS, that SCS is a gentler alternative to SLS, and that Honest Products are safer for human skin than other cleaning products that contain SLS.. Defendant further engaged, and still engages, in unfair or deceptive acts or practices in violation of Cal.Civ.Code 0(a)() by omitting material facts regarding Honest Products, including the fact that Honest Products contain SLS, that SLS is a major component of SCS, and that Honest Products are not safer for human skin than other cleaning products that contain SLS. // // 0

21 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. Defendant intended, and still intends, that Plaintiffs and the members of the Class rely upon Defendant s misrepresentations and omissions concerning material characteristics and ingredients of Honest Products.. Defendant s misrepresentations and omissions possess the tendency or capacity to mislead and create the likelihood of deception.. Defendant s actions, as set forth herein, are acts related to the advertisement and sale of consumer merchandise, and constitute unfair and deceptive trade practices in violation of Cal.Civ.Code 0.. Defendant s actions are unfair business practices because they offend an established public policy and are immoral, unethical, oppressive, unscrupulous, and substantially injurious to consumers.. Defendant intended that Plaintiffs and Class members rely on the false statements, misrepresentations, and omissions of material facts in purchasing Honest Products.. Plaintiffs and Class members reasonably relied on Defendant s misrepresentations and omissions when they purchased Honest Products.. Acting as reasonable consumers, had Plaintiffs and Class members been aware of the true facts regarding Honest Products, they would have declined to purchase Honest Products, or they would have paid less for them.

22 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: As such, Plaintiffs and Class members suffered injuries in fact i.e., the loss of the money that they paid for Honest Products which, in fact, contain SLS in direct contradiction to the Defendant s representations.. Plaintiffs and Class members could not have reasonably avoided the injuries suffered by purchasing Honest Products because it was reasonable for Plaintiffs and Class members to rely on Defendant s misrepresentations and omissions.. The injury suffered by consumers as a result of Defendant s unfair and deceptive trade practices is substantial because consumers unknowingly paid for Honest Products believing that the products did not contain SLS and were safer for human skin than other cleaning products that contain SLS when, in fact, Honest Products contain SLS.. As a direct and proximate result of Defendant s unfair and deceptive acts or practices, Plaintiffs and members of the Class suffered damages by purchasing Honest Products because they would not have purchased the Honest Products, or they would have paid substantially less for them, had they known the truth, and they received products that were worth less than what they paid.. Due to Defendant s misrepresentations and omissions described above, Plaintiffs, individually, and on behalf of the Class, seek injunctive relief, pursuant to Cal.Civ.Code 0(a)(). Plaintiffs seek an order: () requiring

23 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Defendant cease the deceptive and unfair practices described herein; () requiring Defendant to remove the false and misleading representations from Honest Products labels and marketing materials; and () requiring Defendant to disclose that Honest Products contain SLS, that SLS is a major component of SCS, and that Honest Products are not safer for human skin than other cleaning products that contain SLS.. On April, 0, Plaintiffs sent notice to Defendant of its violations of Cal.Civ.Code 0 in accordance with Cal.Civ.Code. If Defendant fails to make the demanded corrections within thirty (0) days of receipt of Plaintiffs notice, Plaintiffs will amend this Count in the Complaint and seek restitution damages, actual damages, and punitive damages in this Count.. Plaintiffs seek the recovery of court costs and attorneys fees pursuant to Cal.Civ.Code 0(e) and 0., as they are prosecuting this action for the important rights affecting the public interest.. The injuries to Plaintiffs and the members of the Class were caused by Defendant s conduct in disseminating false and misleading advertising that originated in the state of California, including the misrepresentations on Honest Products labels, Defendant s website, and other advertising and marketing materials described herein. All of the marketing, advertising, labeling, and other promotional activities were coordinated at, emanate from, and are developed at

24 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Defendant s California headquarters. All critical decisions regarding Defendant s representations regarding Honest Products were made in California.. When Plaintiffs and the members of the Class purchased Honest Products, those payments were processed and the money was sent to Defendant s headquarters in California.. Pursuant to 0(d) of the CLRA, attached hereto as Exhibit A is the affidavit of Plaintiff Klarik showing that this action has been commenced in the proper forum. 0. In the alternative, to the extent that the Court limits the nationwide application of California law, Plaintiff ALAN KLARIK brings this count individually, and on behalf of the California Subclass, based on the allegations set forth above. COUNT II (on Behalf of Plaintiffs, the Nationwide Class, and the California Subclass) Violation of the California Unfair Competition Law (Cal.Bus. & Prof.Code 00, et seq.). Plaintiffs repeat and re-allege the allegations in Paragraphs - with the same force and effect as though fully set forth herein.. Cal.Bus. & Prof.Code 00 makes unlawful any unfair or fraudulent business act or practice and unfair, deceptive, untrue, or misleading advertising[.]. Defendant is a person as defined by Cal.Bus. & Prof.Code 0.

25 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. As set forth above, Defendant s labeling, marketing, and selling of Honest Products affects commerce and trade within the State of California.. Defendant violated, and continues to violate, Cal.Bus. & Prof.Code 00, et seq. when, in labeling, marketing, and selling Honest Products, Defendant misrepresents that Honest Products do not contain SLS, that SCS is a gentler alternative to SLS, and that Honest Products are safer for human skin than other cleaning products that contain SLS.. Defendant further violated, and continues to violate, Cal.Bus. & Prof.Code 00, et seq. when, in labeling, marketing, and selling Honest Products, Defendant omits material facts from consumers, including the fact that Honest Products contain SLS, that SLS is a major component of SCS, and that Honest Products are not safer for human skin than other cleaning products that contain SLS.. Defendant intended, and still intends, that Plaintiffs and the members of the Class rely upon Defendant s aforementioned misrepresentations and omissions.. Defendant s misrepresentations and omissions possess the tendency or capacity to mislead and create the likelihood of deception.

26 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. Defendant s actions, as set forth herein, are acts related to the advertisement and sale of consumer merchandise, and constitute unfair and deceptive trade practices in violation of Cal.Bus. & Prof.Code Defendant s actions are unfair business practices because they offend an established public policy and are immoral, unethical, oppressive, unscrupulous, and substantially injurious to consumers, as set forth herein. 0. Defendant intended that Plaintiffs and Class members rely on the false statements, misrepresentations, and omissions of material facts in purchasing Honest Products. 0. Plaintiffs and Class members reasonably relied on Defendant s misrepresentations and omissions when they purchased Honest Products. 0. Acting as reasonable consumers, had Plaintiffs and Class members been aware of the true facts regarding Honest Products, they would have declined to purchase Honest Products, or they would have paid less for them. 0. As such, Plaintiffs and Class members suffered injuries in fact i.e., the loss of the money that they paid for Honest Products which, in fact, contain SLS in direct contradiction to the Defendant s representations. 0. Plaintiffs and Class members could not have reasonably avoided the injuries suffered by purchasing Honest Products because it was reasonable for

27 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Plaintiffs and Class members to rely on Defendant s misrepresentations and omissions. 0. The injury suffered by consumers as a result of Defendant s unfair and deceptive trade practices is substantial because consumers unknowingly paid for Honest Products believing that the products did not contain SLS and were safer for human skin than other cleaning products that contain SLS when, in fact, Honest Products contain SLS. 0. The substantial injury to consumers outweighs any benefit to consumers or competition that may result from Defendant s misrepresentations and omissions regarding its Honest Products. 0. As a direct and proximate result of Defendant s unfair and deceptive acts or practices, Plaintiffs and members of the Class suffered damages by purchasing Honest Products because they would not have purchased the Honest Products, or they would have paid substantially less for them, had they known the truth, and they received products that were worth less than what they paid. 0. Due to Defendant s misrepresentations and omissions described above, Plaintiffs, individually, and on behalf of the Class, seek injunctive relief, pursuant to Cal.Civ.Code 0. Plaintiffs seek an order: () requiring Defendant cease the deceptive and unfair practices described herein; () requiring Defendant to remove the false and misleading representations from Honest

28 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 Products labels and marketing materials; and () requiring Defendant to disclose that Honest Products contain SLS, that SLS is a major component of SCS, and that Honest Products are not safer for human skin than other cleaning products that contain SLS. 0. Plaintiffs seek the recovery of court costs and attorneys fees pursuant to Cal.Civ.Code 0(e) and 0., as they are prosecuting this action for the important rights affecting the public interest.. The injuries to Plaintiffs and the members of the Class were caused by Defendant s conduct in disseminating false and misleading advertising that originated in the state of California, including the misrepresentations on Honest Products labels, Defendant s website, and other advertising and marketing materials described herein. All of the marketing, advertising, labeling, and other promotional activities were coordinated at, emanate from, and are developed at Defendant s California headquarters. All critical decisions regarding Defendant s representations regarding Honest Products were made in California.. When Plaintiffs and the members of the Class purchased Honest Products, those payments were processed and the money was sent to Defendant s headquarters in California.. In the alternative, to the extent that the Court limits the nationwide application of California law, Plaintiff ALAN KLARIK brings this count

29 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 individually, and on behalf of the California Subclass, based on the allegations set forth above. COUNT III (on Behalf of Plaintiffs, the Nationwide Class, and the California Subclass) Violation of the California False Advertising Law (Cal.Bus. & Prof.Code 00, et seq.). Plaintiffs repeat and re-allege the allegations in Paragraphs - with the same force and effect as though fully set forth herein.. Cal.Bus. & Prof.Code 00 makes unlawful false or misleading statements made in the advertisement of property for sale.. Defendant is a person as defined by Cal.Bus. & Prof.Code 0.. As set forth above, Defendant s labeling, marketing, and selling of Honest Products affects commerce and trade within the State of California.. Defendant violated, and continues to violate, Cal.Bus. & Prof.Code 00 when, in labeling, marketing, and selling Honest Products, Defendant misrepresents that Honest Products do not contain SLS, that SCS is a gentler alternative to SLS, and that Honest Products are safer for human skin than other cleaning products that contain SLS.. Defendant further violated, and continues to violate Cal.Bus. & Prof.Code 00 when, in labeling, marketing, and selling Honest Products, Defendant omits material facts from consumers, including the fact that Honest Products contain SLS, that SLS is a major component of SCS, and that Honest

30 Case :-cv-0 Document Filed 0/0/ Page 0 of Page ID #:0 0 0 Products are not safer for human skin than other cleaning products that contain SLS. 0. Defendant intended, and still intends, that Plaintiffs and the members of the Class rely upon Defendant s aforementioned misrepresentations and omissions.. Defendant s misrepresentations and omissions possessed the tendency or capacity to mislead and create the likelihood of deception.. Defendant s actions, as set forth herein, are acts related to the advertisement and sale of consumer merchandise, and constitute unfair and deceptive trade practices in violation of Cal.Bus. & Prof.Code 00.. Defendant s actions are unfair business practices because they offend an established public policy and are immoral, unethical, oppressive, unscrupulous, and substantially injurious to consumers, as set forth herein.. Acting as reasonable consumers, had Plaintiffs and Class members been aware of the true facts regarding Honest Products, they would have declined to purchase Honest Products, or they would have paid less for them.. As such, Plaintiffs and Class members suffered injuries in fact i.e., the loss of the money that they paid for Honest Products which, in fact, contain SLS in direct contradiction to the Defendant s representations. 0

31 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. Plaintiffs and Class members could not have reasonably avoided the injuries suffered by purchasing Honest Products because it was reasonable for Plaintiffs and Class members to rely on Defendant s misrepresentations and omissions.. The injury suffered by consumers as a result of Defendant s unfair and deceptive trade practices is substantial because consumers unknowingly paid for Honest Products believing that the products did not contain SLS and were safer for human skin than other cleaning products that contain SLS when, in fact, Honest Products contain SLS.. The substantial injury to consumers outweighs any benefit to consumers or competition that may result from Defendant s misrepresentations and omissions regarding its Honest Products.. As a direct and proximate result of Defendant s unfair and deceptive acts or practices, Plaintiffs and members of the Class suffered damages by purchasing Honest Products because they would not have purchased the Honest Products, or they would have paid substantially less for them, had they known the truth, and they received products that were worth less than what they paid. 0. Due to Defendant s misrepresentations and omissions described above, Plaintiffs, individually, and on behalf of the Class, also seek injunctive relief, pursuant to Cal.Bus. & Prof.Code. Plaintiffs seek an order: ()

32 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 requiring Defendant cease the deceptive and unfair practices described herein; () requiring Defendant to remove the false and misleading representations from Honest Products labels and marketing materials; and () requiring Defendant to disclose that Honest Products contain SLS, that SLS is a major component of SCS, and that Honest Products are not safer for human skin than other cleaning products that contain SLS.. Plaintiffs seek the recovery of court costs and attorneys fees pursuant to Cal.Civ.Code 0(e) and 0., as they are prosecuting this action for the important rights affecting the public interest.. The injuries to Plaintiffs and the members of the Class were caused by Defendant s conduct in disseminating false and misleading advertising that originated in the state of California, including the misrepresentations on Honest Products labels, Defendant s website, and other advertising and marketing materials described herein. All of the marketing, advertising, labeling, and other promotional activities were coordinated at, emanate from, and are developed at Defendant s California headquarters. All critical decisions regarding Defendant s representations regarding Honest Products were made in California.. When Plaintiffs and the members of the Class purchased Honest Products, those payments were processed and the money was sent to Defendant s headquarters in California.

33 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. In the alternative, to the extent that the Court limits the nationwide application of California law, Plaintiff ALAN KLARIK brings this count individually, and on behalf of the California Subclass, based on the allegations set forth above. COUNT IV (on Behalf of Plaintiff Aliano and the Illinois Subclass) Violation of the Illinois Consumer Fraud and Deceptive Trade Practices Act ( CS 0/, et seq.). Plaintiff repeats and re-alleges the allegations of Paragraphs - with the same force and effect as though fully set forth herein.. The Illinois Consumer Fraud and Deceptive Business Practices Act ( ICFA ), ILCS 0/, et seq., provides protection to consumers by mandating fair competition in commercial markets for goods and services.. The ICFA prohibits any deceptive, unlawful, unfair, or fraudulent business acts or practices including using deception, fraud, false pretenses, false promises, false advertising, misrepresentation, or the concealment, suppression, or omission of any material fact, or the use or employment of any practice described in Section of the Uniform Deceptive Trade Practices Act. ILCS 0/.. The ICFA applies to Defendant s acts as described herein because it applies to transactions involving the sale of goods or services to consumers.. Defendant is a person, as defined by ILCS 0/(c).

34 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: Plaintiff and each member of the Class are consumers, as defined by ILCS 0/(e), because they purchased Honest Products for personal use.. Honest Products are merchandise, as defined by ILCS 0/(b).. Defendant made false and fraudulent statements, and misrepresented material facts, regarding its products sold to consumers, including the misrepresentations that Honest Products do not contain SLS, that SCS is a gentler alternative to SLS, and that Honest Products are safer for human skin than other cleaning products that contain SLS.. Defendant omitted material facts regarding its products sold to consumers, including the fact that Honest Products contain SLS, that SLS is a major component of SCS, and that Honest Products are not safer for human skin than other cleaning products that contain SLS.. Defendant s misrepresentations and omissions regarding Honest Products constitute deceptive and unfair acts or practices prohibited by the ICFA.. Defendant s misrepresentations and omissions possess the tendency or capacity to mislead and create the likelihood of deception.. Defendant s aforementioned misrepresentations and omissions were used or employed in the conduct of trade or commerce, namely, the marketing, sale, and distribution of Honest Products.

35 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0. Defendant s aforementioned misrepresentations and omissions are unfair business practices because they offend public policy and cause substantial injury to consumers.. Defendant intended that Plaintiff and Class members rely on the false statements, misrepresentations, and omissions of material facts in purchasing Honest Products.. Plaintiff and Class members reasonably relied on Defendant s misrepresentations and omissions when they purchased Honest Products. 0. Acting as reasonable consumers, had Plaintiff and Class members been aware of the true facts regarding Honest Products, they would have declined to purchase Honest Products, or they would have paid less for them.. As such, Plaintiff and Class members suffered injuries in fact i.e., the loss of the money that they paid for Honest Products which, in fact, contain SLS in direct contradiction to the Defendant s representations.. Plaintiff and Class members could not have reasonably avoided the injuries suffered by purchasing Honest Products because it was reasonable for Plaintiff and Class members to rely on Defendant s misrepresentations and omissions.. The injury suffered by consumers as a result of Defendant s unfair and deceptive trade practices is substantial because consumers unknowingly paid

36 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 for Honest Products believing that the products did not contain SLS and were safer for human skin than other cleaning products that contain SLS when, in fact, Honest Products contain SLS.. As a direct and proximate result of Defendant s unfair and deceptive acts or practices, Plaintiff and members of the Class suffered damages by purchasing Honest Products because they would not have purchased the Honest Products, or they would have paid substantially less for them, had they known the truth, and they received products that were worth less than what they paid. COUNT V (on Behalf of Plaintiffs and the Nationwide Class) Violation of the Consumer Fraud and Deceptive Trade Practices Acts of the Various States and District of Columbia. Plaintiffs repeat and re-allege the allegations of Paragraphs - with the same force and effect as though fully set forth herein.. Plaintiffs bring this Count individually, and on behalf of all similarly situated residents of each of the 0 states and the District of Columbia for violations of the respective statutory consumer protection laws, as follows: a. the Alabama Deceptive Trade Practices Act, Ala.Code,, et seq.; b. the Alaska Unfair Trade Practices and Consumer Protection Act, AS.0., et seq.; c. the Arizona Consumer Fraud Act, A.R.S -, et seq.; d. the Arkansas Deceptive Trade Practices Act, Ark.Code -- 0, et seq.;

37 Case :-cv-0 Document Filed 0/0/ Page of Page ID #: 0 0 e. the Colorado Consumer Protection Act, C.R.S.A. --0, et seq.; f. the California Unfair Competition Law, Bus. & Prof. Code 00, et seq. and 00 et seq.; g. the California Consumers Legal Remedies Act, Civil Code 0, et seq.; h. the Connecticut Unfair Trade Practices Act, C.G.S.A. -0, et seq.; i. the Delaware Consumer Fraud Act, Del. C., et seq.; j. the D.C. Consumer Protection Procedures Act, DC Code - 0, et seq.; k. the Florida Deceptive and Unfair Trade Practices Act, FSA 0.0, et seq.; l. the Georgia Fair Business Practices Act, OCGA 0--0, et seq.; m. the Hawaii Unfair Competition Law, H.R.S. 0-, et seq.; n. the Idaho Consumer Protection Act, I.C. -0, et seq.; o. the Illinois Consumer Fraud and Deceptive Business Practices Act, ILCS 0/ et seq.; p. the Indiana Deceptive Consumer Sales Act, IN ST --0.-, et seq.; q. the Iowa Private Right of Action for Consumer Frauds Act, Iowa Code Ann. H., et seq.; r. the Kansas Consumer Protection Act, K.S.A. 0-, et seq.; s. the Kentucky Consumer Protection Act, KRS.0, et seq.; t. the Louisiana Unfair Trade Practices and Consumer Protection Law, LSA-R.S. :0, et seq.; u. the Maine Unfair Trade Practices Act, M.R.S.A. 0-A, et