FTC and 20 states sue Dollar General, alleging shoppers paid more than posted prices

The Federal Trade Commission and 20 states sued Dollar General on Monday, alleging the discount chain routinely charged customers more at the register than the prices shown on shelves, price tags and ads. The complaint, filed in federal court in the Middle District of Tennessee, says thousands of stores collected millions of dollars in overcharges and that the company received tens of thousands of consumer complaints but did not adequately fix the problem. The FTC voted 2-0 to bring the case, which alleges violations of the FTC Act, the Gramm-Leach-Bliley Act and state laws. Dollar General did not immediately respond to requests for comment, CNBC and Reuters reported.

Why it matters: Dollar General runs more than 21,000 stores, and according to the complaint, households earning $35,000 or less make up 60% of its revenue. Ohio's attorney general said the state reached a $1 million settlement with the retailer over similar pricing problems in 2023.