Shoe City Settles Suit Over Advertising

Shoe City, a chain of athletic shoe stores, agreed to pay $85,000 in penalties, restitution and costs to settle allegations of false and misleading advertising.

Shoe City, based in Fullerton, didn’t admit any wrongdoing in settling a civil lawsuit brought last week by the Orange County district attorney’s consumer protection division.

Prosecutors accused the company and its six outlets of misrepresenting the “regular price” as the prevailing market price when, many times, it was simply the manufacturer’s suggested price and bore no relation to the retail price.

Prosecutors asserted that the practice, used in comparing Shoe City prices with those of other stores, continued for three years. The settlement covers Shoe City stores in Fullerton, Garden Grove, Los Alamitos, Stanton, Tustin and Westminster.

As part of the settlement, the company also agreed to a court order designed to ensure its compliance with state laws governing false and misleading advertising.