Dollar General is being sued by the Federal Trade Commission (FTC) and 20 US states over alleged deceptive pricing practices.
In the court document, the plaintiffs claimed that the discount retailer has routinely charged customers more at the register than the prices displayed on shelves, price tags, and advertisements.
“Dollar General has for years engaged in deceptive conduct that harms the very consumers it claims to serve… This pattern of inaccurate pricing has persisted for years and affects millions of purchases across the country,” the complaint reads.
The complaint said the pricing misconduct occurred from January 1, 2019, through March 31, 2026. It also said that Dollar General’s own data shows that pricing discrepancies are known, recurring, and observed across the company’s footprint.
Undercover purchases made by FTC investigators also found that the discount chain charged more at the register than advertised elsewhere. For example, a purchase at a store in Ohio showed that 13 out of 58 items bought had a different price than that on the label or shelf.
“The consequences of these overcharges fall most heavily on shoppers living on razor-thin margins – families who carefully budget every dollar and rely on accurate, transparent pricing simply to meet their day-to-day needs. Rather than ensuring its prices at checkout are accurate, for years Dollar General avoided implementing safeguards to prevent continued overcharging,” the complaint reads.
The FTC is seeking a permanent injunction, monetary relief, and other relief for the alleged violations.
‘Nothing could be further from the truth’
In a statement, Dollar General said its goal is 100 per cent accuracy between shelf and register prices in every store.
The company said occasional price discrepancies can occur, as with other retailers; and when that happens, store teams are instructed and “expected to make things right for the customer”. The company added it has enhanced price-accuracy processes in recent years and remains committed to continuous improvement.
“The lawsuit filed today by the Federal Trade Commission and several States suggests that we have abandoned our mission and willfully disregarded the affordability needs of our customers. Nothing could be further from the truth,” it said.
The chain noted that the timeline of the FTC’s investigation was unusually accelerated, and that it has cooperated by providing requested information over the past months and engaged in good faith to resolve the matter without litigation.
“We were surprised when, rather than responding to our monetary counteroffer and allowing the negotiating process to continue, the FTC filed this lawsuit and, for the first time, made the company aware that 20 States had chosen to join.
“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,” the company continued.
“We remain ready and willing to engage in reasonable, meaningful discussions to resolve this matter,” it added.