Latest news with #JeffRosen
Los Angeles Times
11 hours ago
- Business
- Los Angeles Times
HelloFresh settles consumer protection lawsuit with Santa Clara County for $7.5 million
HelloFresh agreed to pay $7.5 million to settle a consumer protection lawsuit brought by Santa Clara County. The lawsuit, filed in Santa Clara County Superior Court, alleged the meal-kit company had misled customers and made it difficult for them to cancel their subscriptions. As part of the settlement, which was approved last week, HelloFresh will pay $6.38 million in civil penalties, $120,000 in investigative costs, and $1 million in restitution to California consumers. 'Misleading automatic renewal subscriptions and false advertising practices don't sell products — they sell deception,' said Santa Clara County Dist. Atty. Jeff Rosen in a Monday news release about the settlement. 'Stop means stop.' California consumers eligible for the pay out must have been enrolled in HelloFresh's automatic renewal product subscription between Jan. 1, 2019, and Aug. 18, 2025, and charged for the first shipment without their knowledge. They also must have canceled their subscription after that shipment and failed to receive a refund from HelloFresh. HelloFresh denied wrongdoing. 'We take our commitment to customer transparency very seriously, and our subscription model and cancellation policies have been consistently clear to customers throughout the whole customer journey,' said HelloFresh spokesperson Abby Dreher in an email. 'While we deny any wrongdoing, we have cooperated fully with the coalition of California District Attorneys and have entered into a settlement agreement with them to resolve the matter amicably.' The Santa Clara County district attorney's office led the case alongside the Los Angeles County district attorney's office, as well as other members of the state's 'Automatic Renewal Task Force,' which also includes the district attorney's offices of San Diego, Santa Barbara, and Santa Cruz counties, as well as Santa Monica's city attorney. The company enrolled customers in subscriptions with automatic renewal but did not clearly disclose those terms or offer a simple way to cancel the subscription, the Santa Clara County District Attorney's office said. The Santa Clara County District Attorney's office also said the company had failed to provide terms and conditions of free meal perks, bonus gifts and offers for free shipping — actions that are violations of the state laws governing automatic renewal and false advertising. Millions of consumers pay for services or goods without their consent, and regulators at the federal level have sought to establish rules that prevent this practice — but with little success. Although the Federal Trade Commission last year finalized a 'click to cancel' rule requiring that it be as easy to cancel a recurrent subscription as to sign up for one, an appeals court of Republican-appointed judges threw out the rule last month after business groups brought a legal challenge. The failure in court came less than a week before the law was to take effect and after years of regulatory work to hash out the specifics.
Daily Mail
4 days ago
- Business
- Daily Mail
Walmart to pay millions after overcharging customers
Walmart will shell out $5.6 million to settle a civil lawsuit that claims the company overcharged its customers. The grocery giant — the largest retailer in the country — was accused by several California counties of ripping off its customers in those areas. The consumer protection lawsuit claimed that Walmart sold products that weighed less than was indicated on the packet. The items that were allegedly affected included fresh produce, baked goods and other packaged foods. The complaint also argued that Walmart was guilty of charging customers more than items were advertised for. 'When someone brings an item to the register to be scanned, the price must be right,' Santa Clara County District Attorney Jeff Rosen (pictured) said following the settlement. 'They expect it. California expects it. My Office expects it — and we will apply the law to make sure of it.' Walmart will pay $5.6 million in civil penalties for violating California's False Advertising and Unfair Competition Laws, the County of Santa Clara said. The penalties paid by the company will not go directly to consumers, but will go to the Santa Clara County DA's Consumer Protection fund. In addition Walmart must also cover the cost of the investigations, adding $139,908.92 to its bill. The chain has also agreed to employ workers specifically to ensure weight and price accuracy in its 280 California stores. Walmart previously settled a similar lawsuit in California in 2012, forking out $2.1 million. Last year the mega retailer also shelled out $45 million to settle a class action suit brought by angry shoppers in Florida after they also claimed they were being overcharged. The settlement class included those who bought weighted goods or bagged citrus in person at a Walmart in the US or Puerto Rico between October 18, 2018 and January 19, 2024. Some individual customers could claim up to $500 as part of the settlement. In another similar lawsuit filed last year, plaintiffs argued that even though price discrepancies might be just a matter of a few cents each they 'add up to hundreds of millions of dollars each year.' Lawyers and other consumers said they found price discrepancies in Florida, Illinois, Indiana, Maryland, New Jersey and New York. Customers also found cost discrepancies in North Carolina — even after a regulator there fined Walmart in 2022 for price-scanning errors. Walmart recently introduced 'digital shelf labels' in thousands of stores across the country. It means the company can update — in minutes — the prices on the 120,000 items each store stocks. Weekly updates to paper shelf labels typically took a store worker about two days. Retail experts in the past have pointed out that such digital labels, and the speed that prices can be altered, could usher in an era of dynamic pricing.
Daily Mail
4 days ago
- Business
- Daily Mail
Walmart must pay millions for overcharging customers
Walmart will shell out $5.6 million to settle a civil lawsuit that claims the company overcharged its customers. The grocery giant — the largest retailer in the country — was accused by several California counties of ripping off its customers in those areas. The consumer protection lawsuit claimed that Walmart sold products that weighed less than was indicated on the packet. The items that were allegedly affected included fresh produce, baked goods and other packaged foods. The complaint also argued that Walmart was guilty of charging customers more than items were advertised for. 'When someone brings an item to the register to be scanned, the price must be right,' Santa Clara County District Attorney Jeff Rosen said following the settlement. 'They expect it. California expects it. My Office expects it — and we will apply the law to make sure of it.' Walmart will pay $5.6 million in civil penalties for violating California's False Advertising and Unfair Competition Laws, the County of Santa Clara said. The penalties paid by the company will not go directly to consumers, but will go to the Santa Clara County DA's Consumer Protection fund. In addition Walmart must also cover the cost of the investigations, adding $139,908.92 to its bill. The chain has also agreed to employ workers specifically to ensure weight and price accuracy in its 280 California stores. Walmart previously settled a similar lawsuit in California in 2012, forking out $2.1 million. Last year the mega retailer also shelled out $45 million to settle a class action suit brought by angry shoppers in Florida after they also claimed they were being overcharged. The settlement class included those who bought weighted goods or bagged citrus in person at a Walmart in the US or Puerto Rico between October 18, 2018 and January 19, 2024. Some individual customers could claim up to $500 as part of the settlement. In another similar lawsuit filed last year, plaintiffs argued that even though price discrepancies might be just a matter of a few cents each they 'add up to hundreds of millions of dollars each year.' Lawyers and other consumers said they found price discrepancies in Florida, Illinois, Indiana, Maryland, New Jersey and New York. Customers also found cost discrepancies in North Carolina — even after a regulator there fined Walmart in 2022 for price-scanning errors. Walmart recently introduced 'digital shelf labels' in thousands of stores across the country. It means the company can update — in minutes — the prices on the 120,000 items each store stocks. Weekly updates to paper shelf labels typically took a store worker about two days. Retail experts in the past have pointed out that such digital labels, and the speed that prices can be altered, could usher in an era of dynamic pricing.
USA Today
11-08-2025
- Business
- USA Today
Walmart to pay $5.6 million as part of settlement for overcharging customers
Walmart will pay $5.6 million as part of a settlement in a consumer protection lawsuit that alleged the retailer overcharged its customers. The Arkansas-based company is accused of overcharging customers and selling products, such as produce, baked goods and other prepared items with less weight than shown on the label, according to the Santa Clara County District Attorney's Office in California. The civil complaint, filed by four California counties, also alleged that the retailer unlawfully charged customers prices higher than their lowest advertised or posted price. The Santa Clara's District Attorney's office said Walmart's actions violate California's False Advertising and Unfair Competition Laws. "When someone brings an item to the register to be scanned, the price must be right," District Attorney Jeff Rosen said in a statement. "They expect it. California expects it. My office expects it – and we will apply the law to make sure of it." Walmart previously accused of overcharging consumers In 2012, Walmart agreed to pay $2.1 million for overcharging consumers in violation of a 2008 court judgment, according to a statement released by the California Department of Justice. "Consumers who were overcharged at the cash register should have immediately received $3 off the lowest advertised price of the item. If the price was less than $3, the item was to be given to the consumer for free," based on a statement released by the then state's Attorney General and former Vice President Kamala Harris in 2012.
Hindustan Times
11-08-2025
- Business
- Hindustan Times
Walmart to pay $5.6m to settle lawsuit accusing company of overcharging California shoppers. What to know
State officials have announced that Walmart will be paying $5.6 million to settle a consumer protection lawsuit that alleged that the company overcharged its consumers in California. The Santa Clara County District Attorney's Office claimed that Walmart sold products with less weight than what was shown on the label. These products included produce, baked goods and other prepared foods or items, according to Newsnation. Walmart to pay $5.6m to settle lawsuit accusing company of overcharging California shoppers (Unsplash) The civil complaint was filed by several California counties, including San Bernardino County. The complaint also alleged that the company unlawfully charged customers more than their lowest advertised or posted price, which would mean it violated California's False Advertising and Unfair Competition laws. 'When someone brings an item to the register to be scanned, the price must be right,' said Santa Clara County District Attorney Jeff Rosen. 'They expect it. California expects it. My Office expects it – and we will apply the law to make sure of it.' Read More | Walmart boycott begins today: Everything you need to know as organiser issues update Walmart was sued for allegedly overcharging customers in 2012, following which the retail giant paid $2.1 million to settle. In the latest case, Walmart will pay $5.5 million in civil penalties, and $139,908.92 to cover the costs of the investigations. This settlement was reached with the DA's Offices from Santa Clara, San Diego, San Bernardino and Sonoma counties. Walmart faced boycotts this year Walmart has already faced two boycotts in 2025. In April, the People's Union USA organized a week-long boycott of Walmart in the United States. It was the latest in a series of economic blackouts targeting key corporations that have rolled back their Diversity, Equity, and Inclusion (DEI) programs. Walmart faced yet another boycott in May, again organized by the advocacy group People's Union USA, which accused the company of 'crushing small businesses' and 'underpaying' its employees. Both in-store and online shopping at Walmart locations were included in the boycott. Affiliated Walmart-branded companies like Sam's Club, as well as private label brands such as Great Value and Equate, also faced the boycott.
