HelloFresh, Youfoodz to face court over misleading subscription plans

Harry Booth

16th Dec 2025

The Australian Competition and Consumer Commission (ACCC) has initiated legal proceedings against HelloFresh and Youfoodz in the Federal Court, alleging the companies misled consumers about subscription plans.

HelloFresh and Youfoodz are both owned by the German-based parent company HelloFresh SE. HelloFresh offers weekly meal kits, whereas Youfoodz offers weekly ready-made meals.

The ACCC alleges that both companies have breached Australian consumer law by advertising that new customers could ‘easily’ cancel subscriptions without charge, when in reality many still incurred charges despite cancelling within the specified period.

“Despite being able to sign up easily through the websites and apps, consumers were only able to cancel the first delivery if they spoke with a customer service representative,” an ACCC spokesperson said.

The transgressions were alleged to have occurred between January 1, 2023, and March 14, 2025, for HelloFresh, and between October 1, 2022, and November 22, 2024, for Youfoodz. “During these periods, 62,061 HelloFresh customers and 39,408 Youfoodz customers were charged a fee despite cancelling their subscription before the specified cut-off time for the first order,” the ACCC added.

The ACCC also alleges that HelloFresh required consumers to provide payment details to view and select meals from the full menu, but represented to them in the sign-up process that they would not be charged unless they selected meals from the menu. Youfoodz told consumers who had taken steps to cancel their subscription in their online account settings that the first delivery was cancelled, and they would not be charged.

“We’ve brought these two cases because we allege that HelloFresh’s and Youfoodz’s conduct involved a suite of confusing and unclear subscription practices in breach of Australia’s consumer law,” ACCC commissioner Luke Woodward said. 

“Despite what HelloFresh and Youfoodz represented to new Australian subscribers, tens of thousands of consumers were charged for their first order, even though they cancelled their subscription before the cut-off date.”

The ACCC commenced its investigation into HelloFresh and Youfoodz in October 2024 after receiving a large number of consumer complaints.

“Traders must clearly communicate when consumers are signing up for a subscription, as well as how they are able to cancel and avoid being charged,” Woodward added.

“Businesses using confusing and complicated subscription cancellation policies are a matter of significant public concern and, where there is evidence of breaches of the Australian consumer law and consumer harm, the ACCC will take enforcement action when appropriate.”