FTC and 20 States File Lawsuit Against Dollar General Over Pricing Practices

The Federal Trade Commission announced Monday that it has joined 20 states in filing a lawsuit against Dollar General, accusing the discount retailer of charging customers more than the prices shown on shelves, price tags and advertisements. The complaint alleges that thousands of Dollar General stores have extracted millions of dollars in unlawful overcharges from shoppers, many of whom are described as vulnerable, and that the company has received tens of thousands of consumer complaints without implementing adequate safeguards.

The states participating in the suit include Alabama, Arizona, Arkansas, California, Connecticut, Florida, Illinois, Iowa, Kansas, Louisiana, Michigan, Mississippi, Nebraska, New Jersey, North Carolina, Ohio, Oklahoma, Tennessee, Utah and Wisconsin.

"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.

Dollar General did not immediately respond to a request for comment. The lawsuit comes amid heightened consumer focus on discounts as food and gas prices remain elevated, and it coincides with political efforts to highlight consumer-protection actions ahead of upcoming elections.