Dollar General routinely charged shoppers more at checkout than the prices advertised on store shelves, product labels and promotional materials, according to a federal lawsuit joined by Connecticut Attorney General William Tong.
The Federal Trade Commission and 20 states accuse the discount retailer of years of deceptive pricing practices that cost consumers millions of dollars.
The lawsuit, filed Oct. 26 in federal court in Tennessee, claims Dollar General repeatedly failed to correct pricing discrepancies despite knowing about widespread complaints and previous enforcement actions.
"Dollar General knew it was overcharging customers and failed to do anything about it," Tong said in a statement. "They profited from years of deception, while American families lost millions."
According to the complaint, Dollar General received at least 29,265 customer complaints categorized as "Did Not Honor Marked Price" between Jan. 1, 2023, and March 31, 2026.
The complaints came from all 48 states where the company operates.
Federal investigators also conducted undercover purchases at Dollar General stores in Ohio, Pennsylvania, Missouri and Maryland in early 2026. Each purchase revealed multiple discrepancies between advertised prices and prices charged at checkout, according to the lawsuit.
In one investigation at a Cleveland, Ohio, store, 13 of 58 items rang up at prices different from those displayed, including eight items that were overpriced. Investigators reported a net overcharge of $3.25.
The complaint also describes a December 2024 complaint from a Connecticut shopper who said a Dollar General store failed to honor a buy-one-get-one-half-price promotion for a Christmas cup advertised through the company's mobile app.
The lawsuit claims that Dollar General's pricing problems continued despite thousands of failed inspections and multiple settlements with state regulators.
Between 2019 and 2026, the company entered into seven settlements with six state attorneys general and consumer protection agencies involving inaccurate pricing, paying more than $6 million in penalties, according to the complaint.
"It's simple: the price you advertise on the shelf, in the menu, on your website or anywhere else, must be the price you charge, whether the item is $1 or $100," Connecticut Department of Consumer Protection Commissioner Bryan T. Cafferelli said in a statement.
Dollar General Responds To Lawsuit
In an Oct. 26 statement, Dollar General disputed the allegations, saying it remains committed to accurate pricing and customer affordability.
"The lawsuit filed today by the Federal Trade Commission ('FTC' or 'Commission') and several States suggests that we have abandoned our mission and willfully disregarded the affordability needs of our customers," the company said. "Nothing could be further from the truth."
Dollar General acknowledged that occasional pricing discrepancies can occur but said employees are instructed and empowered to correct them.
"Our goal is 100% accuracy between shelf and register prices in every store," the company said. "In recent years, we have enhanced our price-accuracy processes and remain committed to continuous improvement."
The retailer also challenged the FTC's handling of the investigation, saying it cooperated with regulators by producing more than 200,000 documents and over 350 gigabytes of data.
Dollar General said it attempted to negotiate a settlement before the lawsuit was filed but disagreed with the FTC's calculation of potential consumer compensation and its interpretation of federal law.
The company said it was surprised when the FTC filed suit rather than continuing negotiations.
"Although we respect the FTC's role in protecting American consumers and the State representatives' role in protecting the citizens of their respective states, we will defend this litigation vigorously," Dollar General said.
The company added that it remains open to further discussions to resolve the matter.
The FTC and states said the company's conduct violates federal and state consumer protection laws, including the Connecticut Unfair Trade Practices Act.
The lawsuit seeks court orders to stop the practices, along with monetary relief and civil penalties.
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