Ray-Ban, Oakley maker accused in lawsuit of inflating prices 1,000%

Written by Joel Rosenblatt

The Franco-Italian owner of eyewear brands Ray-Ban and Oakley has been sued for allegedly conspiring with competitors to inflate prices by up to 1,000%.

Paris-based EssilorLuxottica SA, the world’s largest eyewear company, is the “principal instigator and executor” of the price-fixing scheme in the US market, having formed illegal agreements with Frames for America Inc. and For Eyes Optical Co.

The complaint also alleges that EyeMed, a subsidiary of EssilorLuxottica, entered into anti-competitive agreements with thousands of eye care providers in order to “direct millions of consumers to purchase the group’s overpriced eyeglasses.” Consumers claim that the illegal collusion was concealed by an arrangement between the companies to keep the terms of their agreements from public disclosure.

EssilorLuxottica did not immediately respond to an email seeking comment.

About 20 other luxury eyewear companies have also been named as defendants in the lawsuit.

The case is Fathmath v. EssilorLuxottica SA, 23-cv-3626, US District Court, Northern District of California (San Francisco).

© 2023 Bloomberg LP