UPDATE: North Carolina has just secured a landmark $4.8 million multistate settlement with online fashion retailer TFG Holding, Inc., which operates popular brands like JustFab, ShoeDazzle, and FabKids. Attorney General Jeff Jackson announced this significant development on Tuesday, revealing that the settlement responds to allegations of deceptive marketing practices affecting consumers.
The lawsuit, initiated by 33 state attorneys general, accuses TFG Holding of employing misleading tactics that enticed customers into enrolling in a VIP membership program under the guise of receiving discounted prices. Customers were reportedly misled into believing they could opt-out of a recurring $49.95 monthly charge, only to find access to cancellation options obscured and complex.
In a statement, Jackson emphasized the importance of this settlement for North Carolina consumers, stating, “The money we won back will help refund customers who were misled by these companies.” The Attorney General’s office confirmed that North Carolina will receive $197,552 in restitution, benefiting those who fell victim to the retailer’s alleged deceptive practices.
As part of the settlement, 87 customers will automatically receive refunds, while others wishing to claim restitution must file a complaint with the North Carolina Department of Justice by January 30, 2026. The agreement mandates that TFG Holding enhance their consent protocols, ensure transparency about the VIP program’s terms, cease unauthorized billing, and simplify the cancellation process for customers.
This settlement marks a significant victory for consumers in North Carolina and highlights the ongoing efforts of state officials to combat misleading practices in the online retail space. The public is encouraged to report any negative experiences with these brands to the Attorney General’s office.
As this situation develops, consumers are reminded to stay informed about their rights and to act swiftly to claim any eligible refunds. The urgency of this matter underscores the continuing vigilance required to protect consumer interests in an increasingly digital marketplace.
