Overview
- TFG Holding, the parent of JustFab, ShoeDazzle and FabKids, reached a multistate agreement resolving claims it enrolled shoppers into a $49.95-per-month VIP program and made cancellation difficult.
- The coalition involves 33 states and jurisdictions, with the case filed in Pennsylvania’s Allegheny County Court following a multistate investigation.
- The settlement requires clear disclosure of recurring charges, express informed consent before enrollment, and a simple online cancellation mechanism with prompt honoring of requests.
- TFG Holding must stop using misleading countdown timers or falsely time-limited offers and provide automatic restitution to certain consumers who enrolled before May 31, 2016 and made only an initial purchase.
- States outline restitution pathways and costs, including a $1 million payment for investigative expenses, Oregon refunds averaging over $2,000, and Washington reporting 42 refunds plus a $15,000 payment to the state.