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BOSTON (WPRI) — Adore Me has agreed to shell out $2.35 million and offer refunds to settle a lawsuit that accuses the online lingerie retailer of deceptively marketing its VIP Membership program.
Massachusetts Attorney General Andrea Joy Campbell said Adore Me enticed its customer base to enroll in its VIP Membership, which includes discounts and other perks.
But once the customer was enrolled, the lawsuit claims Adore Me would charge their accounts $39.95 a month. The only way to prevent the charge from going through required the member to log into their account and “skip” the payment on or before the sixth day of the month.
The lawsuit also accused the retailer of making VIP Membership enrollment the default selection for customers making purchases without disclosing the monthly charge.
Rather than offer refunds for unexpected payments, the lawsuit alleges Adore Me would instead accrue the charges as “store credits” to be used for future purchases.
The settlement requires the retailer to notify all of its customers with outstanding balances of their ability to request a refund for unused store credits by mid-July.
Adore Me also agreed to clearly disclose the terms, prices and frequency of its recurring charges, as well as obtain the customer’s informed consent and provide a simple way for members to cancel their memberships.
The settlement will benefit 32 states, including Massachusetts, Rhode Island and Connecticut, as well as Washington, D.C.
12 News reached out to Adore Me regarding the settlement but has not yet heard back.
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