$4.5M NGL Labs Settlement Ends FTC Case Over Alleged Fake Messages on App Marketed to Teens

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NGL Labs has agreed to a $4,500,000 settlement to resolve Federal Trade Commission (FTC) allegations that the anonymous messaging app sent fake messages that seemed to come from real users, deceived people into signing up for paid subscriptions by claiming that doing so would reveal a sender’s identity, and charged a recurring weekly fee for NGL Pro without users’ knowledge or consent.

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Per the FTC website, anyone 18 years old or older can apply for a refund if they paid for NGL Pro between January 2022 and July 2024 and incurred unauthorized charges.

The NGL Labs settlement, announced on January 6, 2026, stems from the FTC and Los Angeles District Attorney’s office alleging in July 2024 that the anonymous messaging app and its two co-founders “engaged in a host of law violations,” including unfairly marketing the app to children and teens.

The July 2024 order that settled the FTC and Los Angeles DA’s claims also banned NGL from marketing its services to children under 18.

The website for the NGL Labs settlement can be found at FTC.gov/enforcement/refunds/NGL-settlement.

According to the website, NGL settlement class members who file a timely, valid form are eligible to receive a one-time cash refund in connection with their NGL Pro subscription charges. The final amount each class member receives will be determined based on the total number of valid claims filed, the website says.

Individuals under 18 who wish to file an NGL refund claim form must ask a parent or guardian to do so on their behalf.

To file a refund claim form online, NGL users can head to this page and complete each field with the relevant information. Consumers who experience difficulty filing a claim form or have any other questions about the settlement may contact the settlement administrator at 1-800-351-7161 or email info@NGLRefund.com.

All NGL settlement claim forms must be submitted online by April 6, 2026.

The settlement site relays that payments will begin to be mailed to consumers sometime in 2026, after the filing deadline passes and all claims have been filed. No date has been set for when consumers can expect to receive their refunds.

The FTC’s NGL Labs lawsuit alleged that the makers of the “NGL: ask me anything” app, marketed as a “safe space for teens” with “world class AI content moderation,” recklessly promoted the app to minors and misled users into believing that they could pay for premium, $9.99-per-week subscriptions to reveal the identity of anonymous message senders. The lawsuit further alleged that users were deceived by a “bait-and-switch” tactic, as many of the ostensibly anonymous senders were fake, or computer-generated, and as such provided little insight as to the “real” sender of the message.

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