A woman has accused Puyallup-based retail pet store Puppyland of pressuring her into buying a sick puppy who died not long after being taken home, leaving her with a high-interest loan and the target of aggressive collection tactics.
Powell Rattanavong sued Puppyland and its owners, as well as New Jersey-based Cross River Bank and loan-servicing company LendingUSA, in Pierce County Superior Court on Jan. 10, court records show.
The lawsuit alleged that, once home, the puppy did not appear to be vibrant or energetic, seemed tired and had been observed breathing hard while sleeping.
"One day when the puppy was playing with one of Ms. Rattanavong's children, the child fell and so did the puppy. The puppy never recovered, and days later died of lung failure," the complaint stated. "It is not commonplace for 'healthy' puppies to ultimately die from minor falls sustained while playing with small children."
Rattanavong was on Medicaid and undergoing chemotherapy for cancer treatment when she stopped to browse the store in July with her children for therapeutic purposes at the suggestion of her fiance, according to the complaint. She was allegedly persuaded into filling out a loan application just to see if she qualified and, when she did, she bought the puppy she liked but knew she couldn't afford the $6,800.
Puppyland, whose practices have been scrutinized by the state Attorney General's Office, rejected claims of wrongdoing in a statement to The News Tribune.
"Our heartfelt sympathies go out to the Rattanavong family for the tragic loss of their puppy," Puppyland owner Kayla Kerr said in an email. "Having faced our own struggles with our mother recently battling cancer, we understand the difficulty of these moments."
Kerr disputed the circumstances of the puppy's untimely death.
"At Puppyland, our puppies undergo thorough vet examinations, and we offer health warranties for post-sale support," Kerr said. "However, our guarantees don't cover accidents like the one involving Ms. Rattanavong's child falling with or on their puppy."
The attorney representing Rattanavong in the lawsuit did not return inquiries seeking comment. Efforts to contact LendingUSA and Cross River Bank were unsuccessful.
The suit claimed that Rattanavong did her best to keep up with loan payments and pleaded with LendingUSA to either forgive the loan or suspend payments until her chemotherapy treatment had finished. The company was allegedly "uncooperative" and became "very aggressive with collection activity," including calling her multiple times per day and also phoning her sister.
Cross River Bank is accused of providing two different interest rates on its paperwork — 25.9% and 29.9% — causing Rattanavong to be confused about which of the two rates equated to the loan's default rate. The bank was also targeted in the lawsuit for lending to merchants such as Puppyland and for using LendingUSA as a loan servicer.
The complaint requested the court to void Rattanavong's loan and require Cross River Bank to cancel and refund all loans used by Washingtonians to purchase puppies at Puppyland.
"Plaintiff believes and therefore avers that Defendants finds the practice of selling overpriced, unhealthy puppies via high-interest loans through coercion and aggressive loan collection so profitable that they continue even in the face of consumer, regulatory and state action," the suit stated.
The lawsuit's claims mirror allegations brought by the state Attorney General's Office in April when it sued Puppyland and its owners for allegedly "failing to honor advertised health guarantees and channeling customers into predatory loans with illegal terms restricting truthful reviews," according to a statement at the time from the office.
Puppyland, which began operations in Washington in 2018 and — beyond its Puyallup location — owns stores in three other states, was also accused of curtailing customers from going public with feedback by including a non-disclosure provision in purchase paperwork that warned of legal action if a customer disparaged the store.
That case is ongoing, King County Superior Court records show.
In June 2022, the Pierce County Council passed sweeping safeguards for dogs sold in pet stores and their buyers, including requiring shops to obtain dogs from a state-licensed organization in compliance with more stringent Washington state dog-breeding laws. The bill, which affected Puppyland as the lone store selling puppies in the county, was spurred by organizations expressing concerns about the store, Councilwoman Jani Hitchen previously said.
The county Auditor's Office reported no violations of state or county code during monthly inspections conducted at Puppyland last year, according to a review of the office's reports, which are available online.
Two months before Rattanavong bought her puppy, Gov. Jay Inslee signed House Bill 1424 — legislation focused on ending commercial dog-breeding facilities or so-called "puppy mills." The bill, in part, made it illegal in Washington state for pet shops to offer financing.
HB 1424 didn't take effect until a few weeks after Rattanavong's purchase.
The lawsuit seeks unspecified damages, legal fees and an injunction against Puppyland that would require it to overhaul its practices and procedures related to the well-being of animals it sells, to be subjected to supervision and routine audits by the state Department of Agriculture and to cease engaging in any "puppy mill" conduct.
"We want to clarify that Puppyland adamantly denies engaging in 'puppy mill conduct,' and we believe Ms. Rattanavong's accusations are false," Kerr said. "We remain committed to upholding high standards in our practices."
