The Legal Bullseye: 5 Major Target Lawsuits That Are Reshaping Corporate America In 2025
Contents
The Securities Fraud Class Action: The DEI Policy Scrutiny
One of the most consequential legal challenges facing Target is a major securities fraud class-action lawsuit filed by investors, which centers on the company's Diversity, Equity, and Inclusion (DEI) policies and their alleged impact on the company's financial performance.Allegations of Misleading Investors
The core of this class action alleges that Target knowingly misled and defrauded investors by failing to disclose the significant financial risks associated with its ESG and DEI strategies. The lawsuit claims that the company's statements about its corporate values and social commitments were not accurately reflected in the financial outcomes, leading to substantial investor damages. * Key Plaintiffs and Entities: The suit was significantly bolstered by the involvement of the Florida Attorney General, James Uthmeier, and the conservative legal group America First Legal. * The Class Period: The lawsuit seeks damages for shareholders who purchased Target common stock (NYSE: TGT) during the period from August 26, 2022, to November 19, 2024. * The Stock Plunge: The complaint highlights that Target's share price plummeted following a period of declining customer traffic and financial performance, which the plaintiffs link to the undisclosed risks of the company’s policies. * Legal Status: A federal district court, specifically the U.S. District Court for the Middle District of Florida, has denied Target's motion to dismiss the securities violations claims, allowing the case to move forward. This denial is a significant win for the plaintiffs and signals a prolonged legal battle over corporate disclosures related to ESG and DEI. Law firms representing the investors include Bronstein, Gewirtz & Grossman, LLC, The Rosen Law Firm, and KTMC, all nationally recognized firms specializing in securities litigation. This case is a bellwether for how publicly traded companies must disclose the financial implications of their social and political initiatives.Workplace Disputes: Employment Discrimination and Racial Profiling
Target is also facing a persistent stream of lawsuits concerning its treatment of employees and customers, specifically related to discrimination, retaliation, and racial profiling. These cases underscore the ongoing legal scrutiny of large employers' internal practices.Racial Profiling and Discrimination Claims
In a notable case filed in July 2024, a New York court denied Target's motion to dismiss a lawsuit alleging racial profiling. This action, brought by the Rapaport Law Firm, focuses on alleged discriminatory practices against customers. Separately, the company continues to face employment-related lawsuits. * *Rivera v. Target Corporation et al*: Filed in May 2024, this case involves claims of employment discrimination, with the plaintiff, Alondra Rivera, having filed a complaint with the Equal Employment Opportunity Commission (EEOC). * *Hill v. Target Corporation*: Also moving forward in May 2024, this lawsuit involves claims of discrimination and retaliation under the Illinois Whistleblower Act (IWA) based on a complaint about workplace conditions. These lawsuits demonstrate the legal risk associated with internal policies and the need for rigorous, unbiased application of employment and customer service standards.Workplace Safety and Personal Injury
Beyond discrimination, Target faces liability for workplace safety and personal injury claims. In one significant case, a jury awarded an $11.3 Million verdict against Target, as reviewed by Morgan & Morgan in October 2025, for a personal injury claim, highlighting the company's exposure to premises liability. Furthermore, the Occupational Safety and Health Administration (OSHA) has issued violations against Target Corporation for workplace safety or health issues, including a $53,000 penalty in 2024.Consumer Class Actions: Product Misrepresentation and False Advertising
Consumer product liability and false advertising claims are a constant legal battleground for Target, particularly concerning its popular store brands like Good & Gather. Several class actions are active, alleging the company is misleading customers about the nature and ingredients of its products.The Good & Gather Labeling Scrutiny
Target's in-house brand, Good & Gather, has been the subject of multiple class-action lawsuits alleging product misrepresentation: * "Preservative-Free" Veggie Straws: A class action lawsuit was filed, with updates expected in May 2025, claiming that the Good & Gather Veggie Straws, advertised as "preservative-free," actually contain chemical preservatives. * "100% Pure" Avocado Oil: Another class action was filed over claims that Target misrepresented its Good & Gather brand avocado oil as "100% pure." Consumers are increasingly scrutinizing product labels, and these lawsuits indicate a growing trend of holding retailers accountable for the accuracy of their private-label branding.Other Consumer and Product Claims
Other consumer-focused legal actions include: * Unlocked iPhones: A class action claims Target falsely advertises certain iPhones as unlocked. * Negligence and Product Liability: Cases such as *Navarro v. Target Corporation* and the *Kenan plaintiffs* case, which involves allegations of negligence against Target and others, continue to move through the courts in 2024, addressing various product and premises liability issues.The Long Shadow of the Data Breach Litigation
While not a new case, the long-tail effects of the infamous 2013 data breach continue to be relevant, demonstrating the lasting financial and legal repercussions of major security failures. The consolidated class-action lawsuits, known as *In re Target Corp. Customer Data Security Breach Litigation*, saw a significant development with the final approval of a $10 million settlement for consumers. Furthermore, the U.S. District Court for the District of Minnesota certified a class of financial services institutions—including banks and credit unions—to pursue their claims for losses incurred from the breach, solidifying a distinct legal path for these entities. This ongoing litigation serves as a critical reminder of the multi-faceted liability that major retailers face in an era of heightened cybersecurity threats. The sheer volume and variety of the Target lawsuits—from securities fraud over corporate policy to product misrepresentation and employment disputes—paint a picture of a corporation facing legal challenges on almost every operational front. As these cases proceed through 2025, they will not only determine Target's financial liability but also set important legal precedents for corporate governance, consumer trust, and social responsibility in the modern retail industry.
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