Shein Pays $700,000 to Settle Consumer Protection Lawsuit in California
7/14/20252 min read


On July 10, 2025, the Los Angeles County District Attorney’s Office (LADA) announced that global fast-fashion retailer Shein will pay $700,000 to settle a civil lawsuit filed by the District Attorney’s Offices of Napa, Los Angeles, San Francisco, and Sonoma counties.
I. Background of the Case
The complaint alleged that Shein violated California consumer protection laws by:
Taking more than 30 days to ship online orders;
Failing to notify customers of delivery delays;
Not offering refunds or replacement goods as required by law.
Under California law, online retailers must ship purchases within 30 days of receiving payment. If they cannot, they must provide a refund, deliver a comparable or superior item, or send a written notice to the customer indicating the delay’s duration and offering a refund option.
II. Settlement Terms
Shein will pay $600,000 in civil penalties, to be divided among the four District Attorney’s Offices;
An additional $100,000 will cover investigative costs;
Shein is prohibited from making misleading statements about shipping times;
The company must comply with California laws on shipping delays moving forward.
Prosecutors noted that Shein cooperated fully during the investigation.
III. Official Statements
Los Angeles County District Attorney Nathan Hochman stated:
“In this case, fast fashion shipping was not-so-fast and in clear violation of California law. No company, no matter how large, is above the law.”
He credited Napa County District Attorney Allison Haley for leading the case and praised Deputy District Attorney Duke Chau and the Cyber Crimes Division for their work on behalf of LADA.
IV. Related Consumer Protection Cases in California
This case is part of a broader effort by California authorities to enforce consumer rights. Recent notable cases include:
AutoNation (Feb 2024): Paid $650,000 for failure to timely transfer ownership of used vehicles;
Pure Maintenance (June 2024): Paid $425,000 to settle allegations of false advertising regarding chemical disinfectants;
Pacific Magazine Billing (June 2024): Paid $275,000 for sending deceptive fake magazine invoices to consumers.
The Shein case highlights the growing scrutiny on e-commerce businesses regarding order fulfillment and transparency. California prosecutors have made clear that companies, regardless of size or origin, will be held accountable for consumer protection violations.
We will continue to follow developments in enforcement actions across the state. Stay tuned.