HelloFresh $7.5 Million Settlement in California: How Consumers Can Claim Their Payout in 2025

Table of Contents

What Is the Settlement About?

HelloFresh, the well-known meal-kit delivery company, agreed to pay $7.5 million to settle a civil lawsuit brought by California prosecutors.
The case was led by the Santa Clara County District Attorney’s Office, together with the Los Angeles County District Attorney’s Office.
They accused HelloFresh of violating California’s Automatic Renewal Law and False Advertising Law, by:
1. Not clearly disclosing that consumers were enrolling in auto-renewing subscriptions.
2. Failing to obtain affirmative consent before charging customers’ payment methods.
3. Not providing a proper post‑purchase acknowledgment that included key subscription terms.
4. Making it difficult to cancel the subscription.
5. Misleading customers with “free” offers — like free meals, surprise gifts, or free shipping — without fully explaining the terms.

Here’s how the settlement money is allocated:

A portion of the civil penalties (about $1,063,334) will go back to the DA’s offices for enforcing future consumer protection cases.

Not everyone who ever used HelloFresh qualifies. According to the settlement:

Consumers had to be enrolled in an automatic-renewal subscription between January 1, 2019, and August 18, 2025.
They must have been charged for the first shipment without explicit knowledge or consent.
They then canceled after that first shipment.
Importantly, they never received a refund from HelloFresh.

Notice to Consumers
A third-party claims administrator will send out notices to eligible consumers. The DA’s office says they will handle verification and distribute the $1 million restitution fund.
Verification Process
When you receive the notice, you’ll likely need to confirm:
- Your identity / you were a HelloFresh subscriber,
- Your subscription details (when you signed up, when you canceled),
- That you did not get a refund.
Distribution of Funds
The approved claims will divide the $1 million “proportionally” among eligible consumers.
Use of Penalties
The remaining money (civil penalties) goes into enforcement funds for future consumer‑protection efforts by the DA’s offices.

Consumer Protection: This settlement reinforces the importance of transparency in subscription-based services. The DA pointed out that just because something is “free” doesn’t mean its terms are fully explained.
Automatic Renewal Enforcement: The case is part of a broader push by the California Automatic Renewal Task Force, which targets businesses that trap consumers in unwanted subscriptions.
Precedent for Other Companies: It sends a signal that companies need to be clear about auto-renewal commitments, consent, and how to cancel.

Wait for a Notice: If you meet the eligibility criteria, watch your mail or email for a letter from the claims administrator.
Keep Documentation: Subscription confirmation emails, billing statements, or cancellation confirmations will help support your claim.
Respond Promptly: When the notice arrives, follow the instructions to submit your claim.
Follow Updates: Check the DA’s website (Santa Clara or LA County DA) for announcements about claim submission deadlines, distribution dates, or FAQs.

No Admission of Liability: HelloFresh has denied wrongdoing. According to its spokesperson, they “took their commitment to customer transparency very seriously.”
Why Only $1 Million for Consumers: While $7.5M sounds large, most of that is penalties. Only a small fraction is restitution — which means each eligible consumer may not get a huge amount.
Time-Frame Is Broad: The settlement window runs all the way to August 18, 2025, so even relatively recent customers may qualify.
Claims Admin Role Is Key: The third-party administrator has a big job — verifying claims and distributing the fund fairly.