The U.S. Federal Trade Commission, joined by 20 states, sued Dollar General Corporation on Monday, alleging the discount chain has for years routinely charged customers more at the register than the prices displayed on shelves, price tags and advertisements, costing consumers millions of dollars. The complaint was filed in the U.S. District Court for the Middle District of Tennessee.

Source: FTC press release, via CRWE World

"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," said Christopher Mufarrige, Director of the FTC's Bureau of Consumer Protection. The states joining the suit include California, Illinois, Michigan, New Jersey, North Carolina and Ohio — all home to large Punjabi and South Asian communities whose families shop at the chain's more than 21,000 stores.

Source: FTC press release, via CRWE World

According to the complaint, Dollar General logged at least 29,265 customer complaints labelled "Did Not Honor Marked Price" between January 1, 2023 and March 31, 2026, from all 48 states where it operates. The FTC also says its investigators made four undercover shopping trips between January and April this year — in Ohio, Missouri, Pennsylvania and Maryland — and every purchase resulted in the store charging more at the register than advertised; in a January 16 purchase in Cleveland, Ohio, 13 of 58 items rang up at a different price than the label showed.

Source: Retail Dive

21,000+Dollar General stores in the US
29,265customer 'price not honoured' complaints, 2023–Mar 2026, per the complaint
20states suing alongside the FTC
$6 million+paid in earlier state pricing settlements since 2019 (yaani about 60 lakh dollars)

The complaint alleges the company knew about the problem for years but failed to fix it, in part because stores were kept too thinly staffed to complete the weekly five-hour shift meant for replacing outdated price labels. It also notes Dollar General has entered seven settlements with six state attorneys general or consumer agencies over pricing inaccuracies between 2019 and 2026, paying more than $6 million in penalties. The new suit seeks a permanent injunction, monetary relief and civil penalties.

Source: Transport Topics (TT News)

Dollar General did not immediately respond to requests for comment from Reuters, the Associated Press and CNBC on Monday, and its shares were down more than 4% in afternoon trading, Reuters reported. The lawsuit contains allegations that have not been tested in court, and the company will have the opportunity to respond in the Tennessee proceedings.

Source: Reuters, via Duke FM