• ISG Editorial: Macy's Class Action!

    by
    YourGemologist
    Published on 03-10-2011 03:50 AM
    0 Comments Comments

    It was with great disappointment that I have learned of the class action lawsuit brought by
    Mariana Photiou, et al, against Macy’s Department Stores over alleged failure to
    disclose various issues regarding jewelry and gemstones sold by Macy’s to the
    plaintiffs. While the issue of proper disclosure is one of primary importance to
    the ISG office, this class action by Photiou, et al, is not the way to handle
    things and sets a very, very dangerous and damaging precedent for our industry.


    It should first be
    noted that while Plaintiff Photiou comes off appearing like a consumer in the
    pleadings, in fact she is a gemstone dealer and potential competitor of Macy’s.
    Plaintiff Photiou is indeed a member of the International Colored Gemstone
    Association as a dealer, and is not merely an “individual” as the pleadings
    describe
    her.

    Beyond
    this issue is the issue of the class action, itself. This action by Plaintiff
    Photiou, et al, appears more of an effort of the Plaintiffs to get their 15
    minutes of local fame out of this industry wide problem rather than serve any
    real purpose of striving for a true solution to the problem. Reading over the
    pleadings I notice that not one single exhibit was included to offer any proof
    of the allegations. Not one gemstone specimen was offered. Not one proper
    gemological evaluation was attached. Nothing. Just generalized allegations that
    are unsubstantiated with any real documentation or
    exhibits.

    I have first hand experience with
    this kind of thing as this is exactly what Direct Shopping Network did to me in
    their lawsuit against me. We won our demurrer motion recently in the California
    courts because DSN did this exact same thing. That is why I recognize what
    appears to be this failing in this pleading by
    Photiou.

    I have a further unique perspective
    on this situation by having been directly involved in the Jewelry Television
    class action. I can assure consumers and the industry that class actions in
    general are not the way to resolve these issues. And more importantly, these
    litigations serve no final purpose other than to allow law firms to profit from
    the gemstone industry’s lack of ability to police our own
    problems.

    The problems are never resolved as a
    result of this kind of litigation, and the only thing they actually accomplish
    is to further erode overall consumer confidence in the gemstone
    industry.

    Based on my experience with class
    action litigation in the gemstone industry, this litigation of Mariana Photiou,
    et al, -v- Macy’s Department Stores is damaging to the industry, will not serve
    to gain any actual relief for consumers, and must be questioned as to its
    validity due to its lack of disclosure of the standing of Mariana Photiou as a
    gemstone dealer and potential Macy’s competitor. It is my opinion that consumers
    will gain nothing by participating in this class action, in much the same way
    that the Jewelry Television class action failed to provide consumers with any
    real relief.

    I also want to urge the industry to
    take serious consideration before participating in this kind of thing. Based on
    my experience with the law firms, a lot of these firms are licking their chops
    when looking at the problems in the gemstone industry. If we succumb to the
    feeding frenzy that certain law firms are trying to generate we will accomplish
    nothing but eating our own.

    We need solutions to this problem of
    gemstone treatment disclosure. Industry wide solutions that will be of long term
    benefit at all levels of the industry.

    This class action by
    Mariana Photiou, et al, against Macy’s Department Stores is not the solution. If
    others follow this course of action we all might as well go look for work in
    another industry. Why? Because this kind of class action can easily serve to
    destroy a major part of this industry in a mire of litigation costs of both time
    and money, that will start putting more and more of our industry out of
    business, and lose more and more consumer
    confidence.

    That is not what this industry needs
    right now. We need industry wide solutions.

    If consumers believe you
    have issues with any gemstone purchase from any department store, we urge you to
    contact the Jewelers Ethics Association to get immediate and serious
    assistance.

    This class action is not going to get
    you any real action…just make some people famous, potentially help a possible
    competitor of Macys, and make a lot of money for some
    lawyers.

    There is nothing in this class action
    that is going to do any real good for consumers or the
    industry.

    That is my opinion. If you have a
    rebuttal, response, or opinion of any type please let me know.


    Robert James FGA, GG
    International School of
    Gemology
    1. Categories:
    2. Editorial Views