Makeup Company Juelp Disputes Settlement Payment With State

SEATTLE (AP) — The Washington State Attorney General's office says Julep Beauty will pay nearly $3 million for using "deceptive" marketing practices to encourage people to sign up for subscription boxes of makeup.

The Seattle Times reports that Julep CEO Jane Park, a former Starbucks executive, disputes the settlement amount announced Tuesday, saying $1.5 million was previously refunded to customers and the real amount totals $500,000. She also denies that Julep engaged in deceptive behavior.

The state found that Julep didn't make customers aware they were signing up for a subscription plan when they were given a "free" box of makeup products between 2012 and 2015. The state also accuses the company of making it difficult for people to cancel subscriptions.

Julep, which was founded by Park in 2006, has attracted $56 million in venture capital funding.