Terra’s Kitchen Pegged with Class Action Alleging Automatic Renewal Policy Violates CA Law

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Terra’s Kitchen, LLC faces a proposed class action case in which the plaintiff says the subscription-based ready-made meal service automatically renewed proposed class members’ subscriptions without first making certain disclosures required under California law.

California’s Business and Professions Code lays out strict guidelines that govern the conduct of automatic subscription services such as those offered by Terra’s Kitchen. The plaintiff alleges Terra’s Kitchen charged proposed class members’ credit and debit cards without first presenting automatic renewal offer terms in a “clear and conspicuous manner”—and in close visual proximity to a consent request for the service being offered—before any subscription or purchasing agreement was fulfilled. Moreover, the lawsuit alleges Terra’s Kitchen sent the plaintiff and proposed class members follow-up emails for their purchases yet failed to provide a mandatory acknowledgment noting the “automatic renewal or continuous service offer terms, cancelation policy, and information on how to cancel.”

The lawsuit says that as a result of failing to receive affirmative consent to automatically renew subscriptions, all “goods, wares, merchandise, or products” the consumers received are considered an “unconditional gift” under California law, with proposed class members supposedly bearing no obligation as to the cost or responsibility associated with shipping Terra’s Kitchen’s meals.