Depop Facing Class Action Lawsuit Over Alleged Junk Fees

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A proposed class action lawsuit alleges that Depop fails to properly disclose during checkout a mandatory “marketplace” fee tacked onto each transaction, in violation of the California Honest Pricing Law.

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The 21-page lawsuit contends that Depop, one of the largest online fashion marketplaces, failed to include the so-called marketplace fee in its advertised prices and discloses the extra charge only after consumers have initiated the checkout process. According to the complaint, the junk fee is unrelated to any taxes or shipping costs and exists solely for the purpose of increasing Depop’s profits.

“In all cases, the Fee is not disclosed in the initially advertised prices, misrepresenting to consumers the total price of the products they intend to purchase,” the complaint states. “As a result, consumers are blindsided by the additional Fee, requiring them to reevaluate or forgo their purchase plans or to begrudgingly expand their budgets.”

Related Reading: Junk Fees, Hidden Fees, Drip Fees Lawsuits & Arbitrations

The case explains that the practice of drip-pricing, whereby the advertised cost of a product increases as other charges are tacked on to a transaction, has been illegal in California since the enactment of the state’s Honest Pricing Law, a 2024 amendment to California Consumers Legal Remedies Act.

Under the law, retailers in the state are forbidden from falsely advertising prices for goods or services that do not include all required fees or charges. The suit explains that the amendment was designed to ensure that Californians are not misled about the actual price they will pay for an item.

“Defendant waits until consumers have gone through the laborious process of selecting various clothing items before disclosing the Fee, which is revealed only upon initiating the checkout process,” the lawsuit says.

Related Reading: EcoCart Lawsuit Alleges E-Comm Merchant Unlawfully Tacks Hidden Junk Fees Onto Transactions

The plaintiff, a California resident, purchased an article of clothing from Depop, which reportedly boasts over 43.5 million registered users, in January 2025 that had an advertised price of $17. The lawsuit reports that this pricing was a factor in her purchasing decision but during checkout, an unexpected “marketplace” fee of $1.55 was added to her bill.

The complaint notes that Depop has recently added an information icon next to the price of specific products once a consumer selects an item of clothing that displays its final price, inclusive of all fees. However, the plaintiff maintains that this website feature did not exist when she placed her order in January 2025.

“[Depop]’s omission of the mandatory Fee until the very end of the process is an unfair practice designed to string consumers along with the false impression of lower prices and prevent consumers from being able to make an accurate comparison between Defendant’s prices and its competitors’ prices,” the lawsuit argues.

The Depop class action lawsuit seeks to represent all individuals in the United States who purchased any items from Depop and paid its mandatory marketplace fee that was not advertised within the initial advertised price within the applicable statute of limitations period, inclusive of the final date of judgment in this action.

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