20 States and FTC Sue Dollar General Over Alleged Checkout Overcharges

The Federal Trade Commission and 20 states sued Dollar General on Monday, alleging the retailer charged shoppers more at checkout than the prices displayed on shelves, price tags and advertisements. The complaint was filed in the U.S. District Court for the Middle District of Tennessee.

The lawsuit alleges that thousands of Dollar General stores overcharged customers, and that the conduct persisted for years across millions of purchases. The agency stated the pattern of inaccurate pricing has extracted millions of dollars in unlawful overcharges. Dollar General operates 21,000 stores nationwide.

Christopher Mufarrige, director of the FTC's Bureau of Consumer Protection, said Dollar General "has betrayed the trust of millions of American consumers and imposed significant financial harm on communities and consumers who are already struggling to make their paychecks last." The agency stated consumers depend on advertised low prices to manage household finances.

The complaint cites thousands of consumer complaints alleging the company failed to honor advertised prices at checkout. The FTC and states allege the company engaged in deceptive conduct that harms consumers. The suit seeks a permanent injunction, along with monetary and other relief.

Dollar General said it was notified of the investigation in early February. The company stated its goal is "100% accuracy between shelf and register prices in every store" and that store teams are instructed to correct discrepancies. The retailer said it enhanced price-accuracy processes in recent years.

Dollar General stated it worked to resolve the matter without litigation and that FTC staff demanded a monetary amount untethered to any realistic assessment of amounts attributable to pricing discrepancies. The company said it will defend the litigation vigorously. The Federal Trade Commission and states filed the complaint on Monday.