Press Release: 10/23/2025

AG’s Office Secures $1 Million Multistate Settlement With Online Clothing Retailer For Deceptive Advertising And Billing Practices

 



Consumers Impacted by TFG Holding’s Deceptive Practices, Including Across JustFab, ShoeDazzle, and FabKids, May be Eligible for Restitution



FOR IMMEDIATE RELEASE:



10/23/2025



MEDIA CONTACT



Sydney Heiberger, Press Secretary



 Phone



Call Sydney Heiberger, Press Secretary at (617) 727-2543



 Online



Email Sydney Heiberger, Press Secretary at Sydney.Heiberger@mass.gov



BOSTON — The Massachusetts Attorney General’s Office (AGO) today announced a $1 million multistate settlement with TFG Holding, Inc., an online clothing retailer that offers shoes, clothing, and accessories across several different brands, including JustFab, ShoeDazzle, and FabKids. The settlement resolves claims that the company deceptively marketed its VIP Membership Program to consumers and then made it difficult for consumers to cancel their memberships. 



As part of the settlement, Massachusetts will receive $15,000. In addition to the $15,000 payment, Massachusetts consumers who believe they have been impacted by the company’s deceptive practices may file a consumer complaint with the AGO by January 21, 2026 to receive possible restitution. 



TFG Holding, Inc. offers consumers discounted pricing if they enroll in the company’s VIP Membership Program. Once enrolled in the program, consumers are charged $49.95 a month, unless before the sixth day of each month, consumers make a purchase from the company or log into their membership accounts to “skip” the charge. The monthly charges accrue in the consumers’ accounts in the form of store credits, which can be used on future purchases.   



The settlement alleges that TFG Holding, Inc. violated state consumer protection laws in multiple ways, including by: 




  • Misrepresenting the price consumers could expect to pay for products advertised on the company’s websites; 

  • Automatically enrolling consumers into a Membership Program that included a recurring charge without consumers’ knowledge, consent, or authorization; 

  • Implementing and maintaining cancellation policies and practices that frustrated consumers’ ability to cancel the VIP Membership Programs into which they were enrolled; and 

  • Failing to adequately disclose material facts to consumers, including that by purchasing products, they would be enrolled in the VIP Membership Program. 



Under the terms of the settlement, TFG Holding, Inc. is required to: 




  • Comply with all applicable local, state, and federal laws, regulations, or rules; 

  • Clearly and conspicuously disclose the material terms of its VIP Membership Program, including but not limited to, the fact that consumers will be enrolled in the VIP Membership Program, the amount and frequency of all applicable recurring charges, and the consumers’ right to cancel; 

  • Refrain from representing its offers or sales of its products as time sensitive, when they are not, including but not limited to the use of countdown timers to represent or imply that such offers or sales will soon expire, unless the offers are in fact time limited; 

  • Obtain the consumer’s express informed consent prior to enrolling any consumer in the VIP Membership Program; 

  • Provide a simple online mechanism for consumers to cancel their VIP Membership Program, promptly accept and process any request by a consumer to cancel their VIP Membership Program, and stop the billing and collecting of payments for any recurring charge; 

  • Provide all consumers the opportunity to request and obtain a refund of any recurring charge balance accrued within the preceding year; and 

  • Cease the billing of recurring charges to any consumer who enrolled in the VIP Membership Program prior to May 31, 2016, unless the consumer previously skipped a payment, redeemed a credit, received a refund, or made an additional purchase. 



As part of the settlement, the company will also be required to: 




  • Provide automatic restitution to all consumers who enrolled in a VIP Membership Program prior to May 31, 2016, and only made an initial purchase but no subsequent purchases and never skipped a payment; 

  • Pay restitution to consumers who have an existing eligible complaint against the company that has not been resolved, and to consumers who file a new eligible written complaint with the company or the Attorney General’s office by January 21, 2026; and 

  • Pay $1 million to the jurisdictions involved in the investigation to cover the costs of investigation or to be used for future consumer protection purposes.  



Earlier this year, AG Campbell released nation-leaded consumer protection regulations to prohibit “junk fees” and help consumers easily cancel unwanted costs related to trial and subscription offers. The regulations require businesses to clearly disclose what consumers will be charged for and if any charges will increase after a certain period, including trial periods; if charges will occur on a regular basis unless cancelled by a consumer; and instructions on how to cancel a recurring charge or subscription, among other things. The regulations also require businesses to implement simple processes for consumers to cancel subscriptions and other recurring charges just as easily as they were able to enroll in them.  



The settlement involves 32 states and the District Columbia. 



In Massachusetts, this matter was handled by Assistant Attorney General Matthew Lashof-Sullivan of the AGO’s Consumer Protection Division, which is tasked with enforcing Massachusetts’ nation-leading consumer protection laws.