Singer Rihanna-founded lingerie brand Savage x Fenty has agreed to pay $1.2 million in a consumer protection lawsuit settlement for misleading customers, WWD reported.
The lawsuits were filed in August 2022 in the state of California. According to court documents, the company withheld data and failed to inform customers about the regular fee charged to VIP club card holders. Meanwhile customers who later canceled their memberships were not refunded.
The owners of VIP club cards were not informed that they would be charged the regular membership fee, in addition the charges would be automatic. According to the law, such data must be clearly spelled out.
The brand cooperated with the investigation, as well as made appropriate changes to its website. In addition, the company has agreed to pay an administrative fine of one million dollars, as well as pay court costs (50 thousand dollars). Another 150 thousand dollars will be transferred as compensation to VIP clients from California.
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