AdvertiseDonate
☰ SectionsThe hottest stories, right now.
Hot News Topics · 1 Little West 12th Street, New York, NY
Business · World

Dollar General Faces Federal Suit for Overcharging Customers at Register

The FTC and 20 states allege the retailer’s pricing errors cost low-income shoppers millions over three years.

By Sergio Morris ·

Illustration for: Dollar General Faces Federal Suit for Overcharging Customers at Register
Illustration generated for this article, not a news photograph.

Federal regulators and state officials have accused Dollar General of systematically charging customers more than the prices displayed in stores, a practice that cost low-income shoppers millions of dollars. The lawsuit, filed in federal court in Nashville, targets the company’s operations in more than 20,000 locations across the United States. The complaint describes the pricing errors as a pattern that has persisted for years and affected millions of purchases.

The legal action joins the Federal Trade Commission with 20 states, including Mississippi, Ohio, Nebraska, and Utah. The 95-page complaint alleges that the company’s conduct harmed the specific consumers it claims to serve through convenience and value. The FTC states that low- and fixed-income customers rely heavily on the accuracy of shelf labels to manage their budgets. Christopher Mufarrige, director of the FTC’s bureau of consumer protection, said the retailer imposed financial harm on communities struggling to make paychecks last.

The lawsuit cites data showing that Dollar General failed more than 4,300 government price-accuracy inspections in 23 states over a three-year period. The complaint references an investigation published in December 2025 that found the company’s internal policies failed to ensure that printed labels were actually affixed to shelves. The document notes that the company directed employees to update labels on specific days, but staff often lacked the time to do so due to understaffing.

A lead sales associate in Louisiana told investigators that she sometimes threw away price tags to avoid trouble with management. The lawsuit argues that this practice allowed incorrect prices to remain on shelves while customers paid higher amounts at the register. Dollar General’s legal team has previously argued in Ohio court documents that it is virtually impossible to match shelf and scanned pricing 100% of the time. The company stated in 2025 that it was disappointed when it failed to deliver on its commitment to accurate pricing.

Dollar General did not respond to questions about the new lawsuit. The company markets itself as a low-cost alternative to other retailers. A separate settlement with the New York attorney general earlier this month resulted in the company agreeing to pay $1.875 million to resolve similar allegations of overcharging within that state.

Source: The Guardian

More Business · Bad Service · Report a business · Got a Story?

Get Hot News Topics in your inboxThe hottest stories, right now. Free, a few times a week, unsubscribe any time.

Related stories

Get Hot News Topics in your inboxThe hottest stories, right now. Free, a few times a week, unsubscribe any time.