Locked Out: Plaintiffs Alleging Unfair Competition Claim Relating to "False Origin" of Locksets Failed to Adequately Allege Requisite Economic Injury


False advertising claims under California’s Unfair Competition Law (“UCL”) require plaintiffs to plead and prove injury in fact and a loss of money or property as a result of the alleged violation. Alleged false representations that a product was “Made in the U.S.A.,” without more, do not meet the latter requirement, said the Court of Appeal in Kwikset v. Superior Court (Benson), __ Cal.App.4th __, 2009 WL 457921 (No. G040675, Feb. 25, 2009). Instead, a diminution in the value received, or a higher cost paid, is required.

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