Alexander Chancy, Joshua Hyun, and Tyler Curington, on behalf of themselves and all others similarly situated v. Fossil Group, Inc.

District Court, S.D. California·Decided November 21, 2025·No. 3:25-cv-01566·Unknown

Opinion

ALEXANDER CHANCY, JOSHUA Case No.: 25-cv-1566-AJB-DEB HYUN, and TYLER CURINGTON, on ORDER GRANTING IN PART AND behalf of themselves and all others DENYING IN PART FOSSIL GROUP, similarly situated, INC.’S MOTION TO DISMISS Plaintiffs, v. (Doc. No. 7) FOSSIL GROUP, INC., Defendant. Before the Court is Defendant Fossil Group, Inc.’s (“Fossil”) Motion to Dismiss Plaintiffs’ Class Action Complaint. (Doc. No. 7.) Plaintiffs opposed the motion (Doc. No. 12) and Fossil replied. (Doc. No. 13). For the reasons set forth below, the Court GRANTS IN PART AND DENIES IN PART Fossil’s Motion to Dismiss. (Doc. No. 7.) A. Procedural History Plaintiffs Alexander Chancy, Joshua Hyun, and Tyler Curington (“Plaintiffs”) bring this class action lawsuit against Fossil for alleged violations of California’s Unfair Competition Law (“UCL”) and California’s False Advertising Law (“FAL”). (Doc. No. 1-2 ¶¶ 54–90.) Plaintiffs seek restitution, injunctive relief, and attorneys’ fees. (Id. ¶ 91.) On May 14, 2025, Plaintiffs filed this class action complaint in San Diego Superior Court. (Doc. No. 1-2.) On June 18, 2025, Fossil removed the case to federal court. (Doc. No. 1.) On July 25, 2025, Fossil filed the instant motion moving to dismiss Plaintiff’s Complaint in its entirety. (Doc. No. 7.) B. Factual History Fossil is an American design and manufacture company that sells fashion accessories online, in store, and to third-party retailers. (Doc. No. 1-2 ¶ 16.) On Fossil’s website, product prices are compared to a “Like Style” price. (Id. ¶ 18.) Fossil’s merchandise catalog page lists each product with bold, red, current product prices, next to the struck-through Like Style price and apparent discount. (Id. ¶¶ 25–27.) On each product’s details page, next to the Like Style pricing is a light grey “i.” (Id. ¶ 27.) When hovered over, the following message appears: “Our ‘like style’ pricing reflects what similar items have originally sold for at department stores or boutiques. The percentage off is a comparison between our price and the original price of similar items. Like style prices may vary, but we know you’ll love ours.” (Id.) This disclosure is not displayed on the merchandise catalog webpage. (Id.) Rather, consumers may only see the disclosure when hovering over the “i” symbol on a particular product’s webpage. (Id.) In Fossil’s outlet stores, Plaintiffs allege that the product price tags also list the true product price, Like Style price, and supposed discount. (Id. ¶ 18.) Plaintiffs maintain that Fossil stores completely omit any disclosure of Like Style’s definition. (Id. ¶ 27.) Although in-store sales receipts reflect the alleged discounts, the receipts do not define Like Style. (Id. ¶ 29.) On or around May 23, 2023, Plaintiff Chancy purchased a watch on the Fossil website for approximately $52.08. (Id. ¶ 11.) The watch Like Style price was $180.00. (Id.) Plaintiff Chancy asserts he made this purchase because Fossil’s website advertised the watch as 60% off. (Id.) However, Plaintiff Chancy contends that the watch was never listed at $180.00 on Fossil’s website. (Id.) Likewise, on or around April 3, 2024, Plaintiff Curington purchased a watch from Fossil’s website. (Id. ¶ 12.) Plaintiff Curington bought the watch for $88.00, approximately 67% off the estimated $270.00 Like Style price. (Id.) Plaintiff Curington asserts that the watch was never offered for sale at $270.00. (Id.) On December 11, 2024, Plaintiff Hyun purchased a watch for $79.00 at a Fossil Outlet Store in Commerce, California. (Id. ¶ 13.) According to the watch’s price tag, related signage, and receipt, Plaintiff Hyun perceived the original price to be $180.00, creating a $101.00 discount. (Id.) However, Plaintiff Hyun contends that the watch was never offered for sale at $180.00. (Id.) Plaintiffs allege that the Like Style pricing model creates the impression of substantial savings, prompting consumer purchases. (Id. ¶¶ 33–37.) But Plaintiffs contend that the Like Style pricing is not indicative of the price of the advertised item, which presents an artificial discount. (Id. ¶ 24.) As such, Plaintiffs claim that Fossil inflated the Like Style price to reflect a higher discount. (Id. ¶¶ 41–42.) Plaintiffs maintain that Fossil does not, nor does it intend to, sell the items for the Like Style price. (Id. ¶¶ 38–39.) A. Federal Rule of Civil Procedure 12(b)(6) A motion to dismiss under Rule 12(b)(6) tests the legal sufficiency of the pleadings and allows a court to dismiss a complaint upon a finding that the plaintiff has failed to state a claim upon which relief may be granted. See Navarro v. Block, 250 F.3d 729, 732 (9th Cir. 2001). The court may dismiss a complaint as a matter of law for: “(1) lack of a cognizable legal theory or (2) insufficient facts under a cognizable legal claim.” SmileCare Dental Grp. v. Delta Dental Plan of Cal., 88 F.3d 780, 783 (9th Cir. 1996) (citation omitted). However, a complaint survives a motion to dismiss if it contains “enough facts to state a claim to relief that is plausible on its face.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007). Notwithstanding this deference, the reviewing court need not accept legal conclusions as true. Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009). It is also improper for the court to assume “the [plaintiff] can prove facts that [he or she] has not alleged . . . .” Associated Gen. Contractors of Cal., Inc. v. Cal. State Council of Carpenters, 459 U.S. 519, 526 (1983). On the other hand, “[w]hen there are well-pleaded factual allegations, a court should assume their veracity and then determine whether they plausibly give rise to an entitlement to relief.” Iqbal, 556 U.S. at 679. The court only reviews the contents of the complaint, accepting all factual allegations as true, and drawing all reasonable inferences in favor of the nonmoving party. Thompson v. Davis, 295 F.3d 890, 895 (9th Cir. 2002). B. Federal Rule of Civil Procedure 9(b) A party alleging fraud must “state with particularity the circumstances constituting fraud[.]” Fed. R. Civ. P. 9(b). Rule 9(b) requires a plaintiff to make more specific allegations so a defendant “can defend against the charge and not just deny that they have done anything wrong.” Kearns v. Ford Motor Co., 567 F.3d 1120, 1124 (9th Cir. 2009) (quoting Bly-Magee v. California, 236 F.3d 1014, 1019 (9th Cir. 2001) (internal quotation omitted)); see also Neubronner v. Milken, 6 F.3d 666, 671–72 (9th Cir. 1993). C. Leave to Amend Where a motion to dismiss is granted, a district court must decide whether to grant leave to amend. Generally, the Ninth Circuit has a liberal policy favoring amendments. United States v. Corinthian Colleges, 655 F.3d 984, 995 (9th Cir. 2011). Thus, leave to amend should be granted unless the pleading could not possibly be cured by the allegation of other facts. Lopez v. Smith, 203 F.3d 1122, 1127 (9th Cir. 2000). Along with Fossil’s motion to dismiss (Doc. No. 7-1), Fossil submitted requests for judicial notice and incorporation by reference. (Doc. Nos. 7-2, 7-3, 7-4, 7-5). The Court will assess each of Fossil’s requests in turn. A. Judicial Notice Fossil requests that the Court take judicial notice of Fossil’s Like Style disclosure, in-store signage, and images of the di

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Alexander Chancy, Joshua Hyun, and Tyler Curington, on behalf of themselves and all others similarly situated v. Fossil Group, Inc., (S.D. Cal. 2025).

Alexander Chancy, Joshua Hyun, and Tyler Curington, on behalf of themselves and all others similarly situated v. Fossil Group, Inc. (Alexander Chancy, Joshua Hyun, and Tyler Curington, on behalf of themselves and all others similarly situated v. Fossil Group, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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