HelloFresh ordered to pay $7.5 million in penalties for making subscriptions difficult to cancel
Meal kit giant slammed after misleading customers
- HelloFresh, the world's largest meal kit delivery company, has been ordered to pay $7.5 million in penalties.
- The penalty follows a lawsuit in Santa Clara County, California, which alleged HelloFresh misled customers into auto-renewing subscriptions and made them difficult to cancel.
- Los Angeles County District Attorney Nathan Hochman emphasised that all companies must adhere to California's consumer protection laws, vowing aggressive enforcement against unfair subscription practices.
- Of the total settlement, $1 million will be distributed to eligible California consumers, with the remaining funds allocated to prosecuting agencies.
- HelloFresh, which accounts for 75 per cent of the US meal kit delivery market, denied any wrongdoing but stated it cooperated fully with California District Attorneys to resolve the matter amicably.