The Australian Competition and Consumer Commission has launched Federal Court proceedings against home meal delivery providers HelloFresh and Youfoodz, both owned by HelloFresh SE, alleging that they misled consumers over subscription cancellations.
The ACCC claims the companies breached Australian Consumer Law by advertising that new customers could cancel subscriptions online before a cut-off time, when in reality, many consumers who attempted to do so were still charged and received their first delivery.
According to the ACCC, HelloFresh engaged in this conduct between January 2023 and March 2025, affecting 62,061 customers, while Youfoodz did so between October 2022 and November 2024, impacting 39,408 customers.
Consumers were often required to contact customer service to cancel their first delivery, despite assurances that online cancellation was sufficient.
The regulator also alleges that HelloFresh misled customers by requiring payment details to view the full meal menu, creating ongoing subscriptions without their clear consent, and charging the first order even when meals had not been selected.
Youfoodz similarly communicated that cancellations were successful when they were not.
ACCC Commissioner Luke Woodward said the cases highlight "confusing and unclear subscription practices" and stressed that traders must clearly inform consumers about subscription commitments and cancellation processes.