Ninth Circuit Clarifies the Role of Ambiguity in Applying the Reasonable Consumer Standard in Class Actions

In Panelli v. Target Corp., No. 24-6640, (9th Cir. Apr. 17, 2026), the Ninth Circuit reversed and remanded a district court’s dismissal of a putative class action alleging that the sale of 100% cotton bedsheets with claimed thread counts of 600 or greater violated California’s consumer protection statutes. The plaintiff alleged that testing showed that the advertised 800-count bedsheets he purchased had a thread count of 288 and that it is physically impossible to achieve greater than 600 thread... By: Sheppard, Mullin, Richter & Hampton LLP