Facts of the Case. The People of California brought a suit against Overstock, the online retailer, for violating California law by engaging in allegedly unfair business practices and false advertising. Specifically, the People alleged that starting in 2003, Overstock’s use of various pricing terms, such as “Compare At” and “List Price,” were created in an arbitrary fashion and were therefore false and misleading. The trial court granted injunctive relief and imposed $6,828,000 in civil penalties. Overstock appealed.
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