Savage X Fenty Settles Loyalty-Program Claims for $1.2 Million

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Savage X Fenty, Rihanna’s lingerie line, has agreed to a $1.2 million settlement in a consumer action accusing the brand of insufficient disclosures about payments tied to its loyalty program. The case drew media attention after reports from WWD highlighted the dispute over how loyalty program charges were presented to customers.

The complaints originated in August 2022 from law firms operating in three California counties. They asserted that the brand failed to clearly explain the ongoing fees associated with holding a VIP club card and did not obtain proper authorization for recurring charges. The lawsuits further claimed mischaracterizations of product pricing and concerns about the handling of credit card transactions in stores, suggesting that the business practices did not align with customers’ expectations for transparency and accuracy.

Assistant Attorney General Jennifer Deng of Santa Clara emphasized the public interest in clear, upfront disclosures about automatic recurring payments. Her comments reflected a broader consumer protection principle: buyers must understand what they are agreeing to and how often charges will recur, especially when memberships or loyalty programs are involved.

The plaintiffs argued that repeated charges continued after the loyalty card was activated, even when the cardholder did not make new purchases. They also contended that customers who eventually canceled their loyalty program membership found it difficult to obtain refunds for charges already assessed, creating frustration and financial loss for affected shoppers.

Court documents indicate that representatives for Savage X Fenty cooperated with the legal process to modify information presented on the brand’s website, incorporating warnings about recurring payments linked to the loyalty program. This action appears to be part of a broader effort to align online disclosures with consumer protection expectations and to reduce future misunderstandings about ongoing charges.

The settlement comprises several components: $1.2 million in total payments, including $1 million designated for administrative fines, $50,000 allocated to legal costs, and $150,000 distributed to customers impacted by the alleged program practices. The arrangement reflects a structured approach to remedying the perceived shortcomings while distributing relief to affected consumers across the involved jurisdictions.

The developments follow prior public attention on Rihanna’s brand activity, including moments where the founder’s personal brand and product line have been featured in candid fashion content. The intersection of celebrity-led fashion labels and consumer protection oversight continues to draw interest from industry observers and shoppers alike, underscoring the ongoing scrutiny of how loyalty rewards programs are marketed and administered in the retail space.

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