Cobblestone Car Wash will pay back more than $1.3 million to consumers and will alter its automatic renewal policies after agreeing to a settlement with the Colorado Attorney General’s Office.
The AG’s office had investigated Cobblestone Denver Opco, LLC, after allegations that it was using unfair auto-renewal practices, such as raising monthly rates without notice and not providing a receipt for memberships.
▶️ Cobblestone Car Wash to pay $1.3M to consumers over auto-renewal violations
Cobblestone has more than 40 locations in Colorado.
When customers sign up for monthly memberships, they are automatically billed until they cancel the contract, however the Attorney General’s Office found that the company did not provide proper notices, disclosures or terms and made it difficult to cancel a membership, violating the state’s Consumer Protection Act.
"Colorado's auto renewal law is one of, if not the strongest, renewal law in the nation. It requires companies to make it easy and to make it quick to say, 'No, I'm not going to renew the service,' Colorado Attorney General Phil Weiser told Denver7 Investigates. "When a company like Cobblestone makes it hard, obscures what's going on, makes it difficult, they violate the law. That's what happened here."
The Attorney General's Office reported that between August 2022 and February 2025, more than 30,000 Coloradans saw a monthly rate increase without notice and more than 40,000 people didn’t receive a receipt for a membership purchase, which is required by law.
Cobblestone will pay $1,353,465 to 70,000 Colorado customers. The settlement agreement stated that each affected consumer will receive $19.
"There's no question that Cobblestone made money, benefited from a business model that customers ended up staying with a service that they didn't want or they didn't realize that they were even paying for. This type of practice is wrong. That's why we're getting customers their money back," Weiser said.
Cobblestone also agreed to provide proper documentation for its auto-renewal policies, including trial period disclosures and give a minimum of 25 days notice for membership increases. It will also give members the ability to cancel with a one-step link on the company’s website.
The Attorney General’s Office said the company has already paid out more than $250,000 to roughly 4,000 customers during the investigation and will pay an additional $20,000 for costs for the state’s investigation. The Attorney General's office will also provide Cobblestone with a copy of any consumer complaint received for the next three years.
The settlement noted that Cobblestone denied any liability or violation of the law.
In statement to Denver7 Investigates on Thursday, the company said:
"We're proud of the work our team members do every day across Colorado, delivering a great experience to our customers and supporting the communities where we operate. We've made meaningful enhancements to our membership communications to make it clearer, simpler, and easier to manage. Resolving this matter allows us to stay focused on serving our customers, supporting our team members, and investing in the communities where we operate.
Customers with questions about the resolution, refund process, or eligibility can visit cobblestone.com/cobblestone-colorado-membership-resolution for additional information."
Denver7 Investigates previously reported on Cobblestone Car Wash in 2022 after several customers complained of damage sustained at the car wash. The Better Business Bureau noted in that story that the company had an "F" rating and that there were complaints about memberships.
The company has since improved its grade and now has an "A+" rating, according to the BBB's website.
