A class-action lawsuit filed against Nordstrom in Massachusetts over its controversial price tags has been dismissed by a federal judge.
Judge F. Dennis Saylor IV found that although the comparison prices on price tags at Nordstrom Rack may be deceptive, consumers who bought clothes with those labels didn't suffer any harm.
The lawsuit, filed earlier this year, is similar to one filed in California that was dismissed in March.
Judith Shaulis said in her complaint that she bought a cardigan at Nordstrom Rack in November for $49.97, partly motivated by a line on the price tag that advertised 77 percent savings over the "compare at" price of $218.
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But based on Internet research, she said, the cardigan and several other Nordstrom Rack products were either not available at other retailers or sold for far less than the comparison price.
"The 'compare at' prices used by Nordstrom were a sham," the complaint alleged. "They are fictional amounts intentionally selected so that Nordstrom Rack could advertise phantom markdowns."
But in a ruling earlier this month, Saylor said that Shaulis hadn't demonstrated that she was damaged by the labeling practice.
Under Massachusetts consumer protection law, shoppers have to show that they were harmed by a business's deception.
Jack Newsham can be reached at jack.newsham@globe.com. Follow him on Twitter @TheNewsHam.