How can companies make wild claims about quality which are completely untrue
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It all depends on how you define quality, which is very much a subjective measurement.
Herschel could easily make the argument that high price drastically reduces a product quality, while having a lower maximum carry weight and weaker stitching is not that big of a deal. By a certain (very specific) measurement of quality, Herschel bags ARE the finest quality.
That Herschel way of measuring quality isn any close to your view of quality isn something that you can sue them for.
Terms that are well defined, like “waterproof” or “strap has a tensile strength of 400 lbs”, are something that they can really quibble about definitions on. If they make the second claim, and you get up in court with a few of their straps and show that they fail to have a 400 lbs tensile strength, then they breaking the law.
If you pay close attention to advertising, they use a lot of subjective terms. Very few marketers ever use objective terms, because it just opening yourself to be sued. A company might think they telling the truth, then their outsourced manufacturing screws up and now they liable for false advertising.