Jessica Alba's company allegedly made false claims about its products and now it's paying the price.

Alba's Honest Company has agreed to fork over $1.55 mil to settle claims it misled customers into thinking its soaps and cleaning products didn't contain a certain chemical ... but they did.

According to the suit ... the actress' company marketed products as being free of sodium lauryl sulfate (SLS). Turns out it IS an ingredient in a different compound used in its products.

The company's agreed to pay consumers who feel they got duped. They can get a check or Honest.com credits. The company's also vowed to fix its marketing mistakes, and claims it's already reformulated products to address the issue.