UPDATE: North Carolina has just secured a substantial $4.8 million multistate settlement with online clothing retailer TFG Holding, Inc., which owns popular brands such as JustFab, ShoeDazzle, and FabKids. The announcement was made by Attorney General Jeff Jackson on Tuesday, highlighting urgent consumer protection measures following allegations of deceptive marketing practices.
This settlement, involving 33 state attorneys general, addresses serious concerns regarding TFG’s VIP membership program, which misled customers into believing they were receiving discounts while actually imposing a monthly fee of $49.95. Many consumers found themselves automatically enrolled without consent, leading to confusion and frustration. Reports indicate that TFG also misrepresented pricing on their websites and made cancellation difficult.
As a part of the settlement, North Carolina consumers will receive $197,552 in restitution, with 87 customers set to receive automatic refunds. Others seeking refunds must file a complaint with the North Carolina Department of Justice by January 30, 2026 to be eligible.
Attorney General Jackson emphasized the significance of this restitution, stating,
“The money we won back will help refund customers who were misled by these companies. If you had a bad experience with any of these brands, please file a complaint with our office.”
The settlement also mandates TFG to improve customer consent practices, enhance transparency regarding the VIP program terms, eliminate recurring charges, and facilitate easier cancellation processes for customers.
This development sheds light on ongoing issues with online retailers and the importance of consumer rights. North Carolina residents affected by these practices are urged to take action now. The Attorney General’s office is prepared to assist those seeking restitution, reinforcing a commitment to consumer protection and accountability.
Stay tuned for more updates on this unfolding story as further details emerge regarding how consumers can receive their refunds and the impact of these changes on online retail practices.
