MONTGOMERY, AL — Alabama Attorney General Steve Marshall on Tuesday announced Tuesday the state has joined the Federal Trade Commission (FTC) and 19 other states in a lawsuit accusing Dollar General of charging customers more at checkout than the prices advertised on store shelves.
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The lawsuit alleges the discount retailer engaged in deceptive pricing practices for years, resulting in millions of dollars in overcharges to consumers nationwide.
The complaint says Dollar General repeatedly charged customers higher prices than those displayed on shelves, price tags and advertisements, despite receiving tens of thousands of consumer complaints about the discrepancies.
"The price on the shelf is supposed to be the price you pay," Marshall said. "We believe that Dollar General advertised one price and charged another at the register, and Alabama families who count every dollar were the ones who paid for it. We are joining with nineteen states and the FTC because this isn't a one-off."
Marshall alleges thousands of Dollar General stores participated in the pricing practices, with customers collectively paying millions of dollars more than advertised.
Federal and state officials also contend that Dollar General was aware of the discrepancies through widespread consumer complaints but failed to implement adequate safeguards to prevent further overcharging.
Those filing the lawsuit insist the company's failure to address the problem particularly affected financially vulnerable shoppers, many of whom rely on discount retailers for everyday necessities.
The FTC and participating states allege Dollar General violated federal consumer protection laws, including the FTC Act and Gramm-Leach-Bliley Act, along with state laws such as Alabama's Deceptive Trade Practices Act.
In addition to Alabama, the states participating in the lawsuit are Arizona, Arkansas, California, Connecticut, Florida, Illinois, Iowa, Kansas, Louisiana, Michigan, Mississippi, Nebraska, New Jersey, North Carolina, Ohio, Oklahoma, Tennessee, Utah and Wisconsin.
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