HelloFresh, the world’s largest meal-kit delivery company, will pay $7.5 million to settle allegations that it illegally locked customers into auto-renewing subscriptions, according to the Santa Barbara County District Attorney’s Office.
The lawsuit, brought by a coalition of California prosecutors including Santa Barbara, accused the company of violating the state’s Automatic Renewal Law by failing to clearly disclose subscription terms, secure proper consent, and make cancellations straightforward. Prosecutors also pointed to misleading advertising around “free meals” and surprise gifts.
As part of the settlement, HelloFresh will pay $6.38 million in civil penalties, $120,000 in investigative costs, and $1 million in restitution to eligible California consumers. Those eligible include customers who were charged for their first shipment between January 1, 2019, and August 18, 2025, without knowingly enrolling, canceled after the first box, and never received a refund. Notices will be sent by a third-party administrator…