Proactiv Auto-Renewal Subscription
February 2017: A judge preliminarily approved a settlement of a false advertising class-action lawsuit filed against Guthy-Renker (the company that sells Proactiv skin care products). The complaint, which was originally filed in 2013, alleges that Guthy-Renker fails to adequately disclose the terms of Proactiv’s auto-renewal subscription and never requires consumers to affirmatively agree to them. According to the settlement terms, class members have the option to receive a cash payment or free skin care products worth at least $75. The amount of each cash payment, which will range from $20 to $75, depends on the number of class members who choose the cash option. Money remaining in the settlement fund after all class members who choose the cash option are paid will be paid to a charitable organization. In addition, the company agreed to more clearly and conspicuously disclose the terms of its continuous service offers before the subscription and require consumers to affirmatively consent to charges. A final fairness hearing is scheduled for May 16, 2017. For more information, go to http://www.proactivclassaction.com/. (Habelito et al v. Guthy-Renker LLC and Does 1-10, Case No. BC499558, California Superior Court – Los Angeles)
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