Furniture stores Leon’s and The Brick are being investigated for alleged deceptive marketing practices, Competition Bureau Canada (CCB) says.
The Brick is owned by Leon’s Furniture Ltd.
“When untrue, they can mislead consumers into making purchases they might not have otherwise made, or rushing them into purchases without considering competitive offers,” the CCB said.
The bureau is also investigating whether the stores inflated regular prices to make it look like customers were getting a better deal during sales or promotions.
Also being investigated are alleged marketing practices such as sales claims that don’t specify the amount of discount and displaying items in a distinct font colour that could create a false impression that customers are benefiting from a sale.
The bureau said there is no conclusion of wrongdoing by Leon’s or The Brick at this time.
Leon’s told The Epoch Times in an emailed statement that the court order is a standard procedure during CCB investigations.
“Leon’s has been a part of Canadian households for 115 years, and The Brick for 53,” Audrey Hyams Romoff, corporate spokesperson for Leon’s and The Brick, said in the statement.
Romoff said both companies provide excellent value to consumers with their products and prices.
“To further their compliance efforts, both Leon’s and The Brick have established longstanding protocols to meet advertising standards,” she said in the release.
The email also said both companies are committed to complying with the regulatory requirements and are cooperating with the bureau’s investigation.