Pennsylvania Attorney General Michelle Henry has filed a lawsuit against a Pittsburgh toy company she said failed to fulfill more than $4 million in orders.
Henry announced that her office has filed a lawsuit against Digital Dream Labs and its former CEO, Harold J. Hanchar, regarding the robotics and educational-technology company’s “widespread failures to fulfill orders, issue refunds, or respond to consumer requests,” according to a news release.
Since November 2020, Digital Dreams Labs marketed several in-home companion robots: Vector 2.0, Cozmo 2.0, and the Butter Robot.
The lawsuit accuses the company of failing to fulfill most of 14,000 orders placed between November 2020 and January 2024.
Hanchar announced earlier this week that the company has a new CEO, Zack Anton. Digital Dream Labs officials could not be immediately reached for comment on the lawsuit.
Customers who prepaid were not provided refunds or updates on delays, according to the suit, which also seeks to prohibit Digital Dreams Labs, based in East Liberty, from accepting prepayment for products in Pennsylvania.
“Consumers paid significant costs for these products, never received them, and were left out in the cold when they asked for updates or refunds,” Henry said. “This suit seeks to make Pennsylvania consumers whole while holding the company accountable for neglecting buyers.”
Impacted consumers paid between $147 and $655 for each robot — combined sales of more than $4 million.
Any consumers who believe they may be a victim of these practices should file a complaint with the Bureau of Consumer Protection at Attorneygeneral.gov, call 800-441-2555, or email scams@attorneygeneral.gov.