The Federal Trade Commission (FTC) is distributing nearly $1.9 million in refunds to consumers affected by the practices of online shoe seller Hey Dude, Inc.
In September 2023, Hey Dude settled allegations that it repeatedly violated the FTC’s Mail, Internet, and Telephone Order Merchandise Rule (Mail Order Rule) and suppressed negative online reviews in violation of the FTC Act. The FTC's complaint stated that the company failed to notify customers about shipping delays, did not provide cancellations or refunds for delayed orders, and used gift cards instead of monetary compensation for customers who never received their orders. Additionally, the FTC alleged that Hey Dude only published high ratings on its website from a third-party review interface and suppressed over 80% of reviews that did not rate four or more stars out of five.
The FTC is sending PayPal payments to 36,757 consumers who experienced unexpected cancellations and shipping delays or received gift cards instead of refunds for out-of-stock items. Consumers are advised to redeem their PayPal payment within 30 days.
For questions regarding their payment, consumers should contact the refund administrator, JND Legal Administration, at 877-495-1096 or visit the FTC’s website for frequently asked questions about the refund process. The Commission does not require individuals to pay money or provide account information to receive a refund.
The Commission’s interactive dashboards offer a state-by-state breakdown of refunds in FTC cases. In 2023 alone, FTC actions resulted in $324 million in refunds to consumers nationwide.
The Federal Trade Commission aims to promote competition while protecting and educating consumers. The FTC will never demand money, make threats, instruct you to transfer funds, or promise prizes. More information on consumer topics and reporting scams can be found at ReportFraud.ftc.gov. Follow the FTC on social media platforms for updates on consumer alerts and press releases.
