Newark, NJ: (Jan-14-08) A class action lawsuit was brought against Bed Bath & Beyond (BB&B), alleging that the company misrepresented thread counts in sheets and other products. The suit stemmed from a queen size sheet set purchased in one of BB&B's Alabama stores for about $180, claiming to be an 800-thread count set. However, the count was allegedly determined by counting two plies. Sources close to the case revealed that the company had reached a preliminary settlement in the case, stating that it will comply with ASTM standards that require thread counts to be labeled according to the number of yarns in a square inch of fabric, regardless of the number of plies, a standard that has also been adopted by the Federal Trade Commission.
Additionally, the deal will provide customers who made qualified purchases between Aug. 1, 2000 and Nov. 9, 2007, the option of receiving a refund for the goods, a $10 BB&B gift card, or a 20% discount up to $50, depending on their specific circumstances. The original case sought $5 million in damages. Officials said that it could not be immediately determined how much BB&B will likely pay or how many consumers fall into the affected class under the terms of the settlement. The agreement also stipulates that the company pay court costs and attorneys fees up to $290,000. [