The Federal Trade Commission and attorneys general from 20 states have sued Dollar General, alleging the discount retailer charged customers more at checkout than prices posted on store shelves. The complaint says the practice led to millions of dollars in overcharges and particularly affected low- and fixed-income consumers who rely on the chain for affordable goods.
The lawsuit alleges Dollar General knew about widespread pricing discrepancies for years and failed to take adequate corrective action despite tens of thousands of consumer complaints. The company has previously reached settlements with individual states, including Ohio and New York, over similar allegations.
The joint lawsuit seeks to stop the alleged practice and could result in financial penalties. Dollar General shares declined after the announcement.