A class action lawsuit has accused marketing services vendor Salesforce of allegedly forcing customers into long subscription plans without completely revealing the true costs of using their services and products.
The suit accuses Salesforce of locking customers into long-term subscription plans without fully disclosing the associated costs.
The complaint alleges that Salesforce's business model is centered around a marketing campaign that misrepresents the flexibility and costs of its services. It also accuses Salesforce of enforcing an "unconscionable" contract that hides the true cost of its services while imposing an unlawful termination penalty on customers who wish to cancel their subscriptions.
According to the filing, Salesforce's Master Services Agreement (MSA) does not accurately represent the total cost of using its CRM services as it requires additional spending to implement the software - referred to as "Implementation Costs". These costs can reportedly be several times greater than the subscription fee itself.
The plaintiffs seek to expand the action to include everyone who has signed an MSA with Salesforce in the past four years.
The plaintiffs are seeking "restitutionary disgorgement" of money paid to Salesforce under the alleged misleading MSAs, plus attorney fees.
Lawyers representing the plaintiffs include Courtney Stuart-Alban and Juan Pablo Alban, of Stuart Alban Law, of Pasadena; and Lizelle S. Brandt and Andrew J. Kubik, of Singian Law, of Pasadena.