The legal theory behind the lawsuits is not specific to any industry. “Plaintiffs have filed class actions against companies across varying industries and points in the supply chain from food manufacturers to logistics providers. The specific allegations in each case differ, but the primary legal theory is the same: companies cannot pass tariff costs to consumers and retain government refunds for the same tariffs,” Foley & Lardner lawyers Erik Swanholt and Kelsey Boehm wrote.
Holland & Knight lawyers wrote in a legal alert that “any business that both passed tariff costs through to customers and is pursuing government refunds could become a litigation target.”
Nintendo tries to compel arbitration
With lawsuits in the early stages, no court has ruled on the core legal theories, Holland & Knight lawyers wrote. Businesses have several potential defenses, such as arguing that there can be no unjust enrichment when there is a contract between the parties.
“In many jurisdictions, unjust enrichment is unavailable where an express contract governs the parties’ relationship,” Holland & Knight partners Ashley Akers and Austin Rainwater wrote.
