Attorney General Josh Stein announced a multistate settlement with AdoreMe, Inc., a lingerie shop that predominantly sells its items online, for $2.35 million. Around 27,789 North Carolinians with unused store credits are entitled for reimbursements ranging from $39.95 to $479.90, totaling over $700,000 in total. The Attorney General’s office will also get $79,832.63. The settlement addresses charges that the corporation promoted its VIP Membership Program falsely and subsequently made it difficult for customers to quit their membership.
“I’m pleased that more than 25,000 North Carolinians will be eligible to receive more than $700,000 in refunds from AdoreMe,” said Attorney General Josh Stein. “Companies have a responsibility to be fair and transparent with their customers so that people know what they’re signing on for.”
Customers who signed up for AdoreMe’s VIP Membership Program received discounted prices. Once enrolled in the scheme, customers were charged up to $39.95 per month unless they made a purchase from AdoreMe or checked into their AdoreMe accounts before the sixth day of each month to “skip” the fee. The monthly expenses were credited to their accounts as store credits to be utilized on future purchases.
AdoreMe is now required to notify all customers with active VIP Memberships that they can obtain a refund of any unused store credits. In addition, AdoreMe has agreed to make certain changes to its business practices and is prohibited from engaging in any misconduct.
Attorney General Stein is joined in this settlement by the Attorneys General of Alabama, Arkansas, Connecticut, DC, Florida, Georgia, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Massachusetts, Michigan, Minnesota, Mississippi, Nebraska, Nevada, New Jersey, New Mexico, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, Tennessee, Texas, Vermont, Washington, and Wisconsin.