Optavia Hit With California Class Action Over Optavia Premier Auto Renewals
Two customers have filed a proposed class action against Optavia LLC in San Diego County Superior Court alleging the company's Optavia Premier subscription program uses deceptive auto-renewal practices.
The complaint in Zeller and Alpert v. Optavia, LLC, dated March 21, 2024, alleges that Optavia relies on a pre-checked enrollment box, fails to provide disclosures required under California's automatic renewal law and makes it difficult for customers to cancel. It brings claims under California's False Advertising Law and Unfair Competition Law. The case was filed in state court after an earlier federal filing.
The complaint cites company statements that more than 75 percent of customers incur at least one renewal charge and nearly 50 percent incur four or more, and says subscriptions account for 92 percent of revenue. It says Optavia Premier orders can cost up to 500 dollars a month.
Optavia, the coach-based business of Baltimore-based Medifast, sells meal replacements and weight management programs through independent coaches.
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