NASHVILLE, Tenn. (WKRN) — Tennessee Attorney General Jonathan Skrmetti announced Monday a multi-state $1 million settlement with TFG Holding, Inc.

According to the Office of the Tennessee Attorney General, the settlement was made after allegations were made against the company for deceiving consumers about its VIP Membership Program and also making cancellations and refunds difficult.

The investigation included 33 states and found that the company "violated consumer protection laws by misrepresenting prices, enrolling consumers without consent into the VIP program with recurring charges, making cancellation difficult, and failing to disclose that purchases would automatically trigger membership enrollment," officials with the Office of the Tennessee Attorney General said.

TFG Holding, Inc. is an online clothing retailer that operates JustFab, ShoeDazzle and FabKids.

The Office of the Tennessee Attorney General said the $1 million settlement payment will go to the 33 states that were part of the settlement and negotiation.

Affected Tennesseans will also automatically receive refunds totaling $110,781.35. Any affected consumers seeking refunds can submit a written complaint to [email protected] by Jan. 30, 2026, according to the Office of the Tennessee Attorney General.

Officials said affected Tennessee consumers can also send complaints to the Office of the Tennessee Attorney General.

“This settlement holds TFG Holding accountable for tricking Tennessee consumers into expensive memberships they didn't want and then making it nearly impossible to cancel,” Skrmetti said. “The automatic refunds will put money back in the pockets of Tennessee families who were deceived by these illegal practices. This case sends a clear message that companies must be transparent about recurring charges and simplify cancellation.”

As a result of the settlement, TFG Holding must clearly disclose all material and recurring charges before enrollment, obtain express informed consent for consumers to enroll in the VIP Membership Program, provide a simple online cancellation mechanism and cease using deceptive marketing practices such as fake urgency countdown timers.

TFG Holding will also have to offer refunds to customers for recurring charges accrued within the past year and cease billing certain consumers who enrolled before May 31, 2016, according to state officials.

The District of Columbia, Pennsylvania, Maryland and Texas led the negotiation, and Tennessee and 29 other states joined the multi-state coalition.

News Source : https://www.wkrn.com/news/tennessee-news/tennessee-ag-announces-1-million-settlement-with-tfg-holding-inc/