FTC and 20 States Sue Dollar General for Overcharging

The Federal Trade Commission and 20 states filed a lawsuit on Monday against Dollar General, alleging the discount retailer engaged in deceptive pricing practices. The complaint asserts that the company routinely mislabeled prices on advertisements, tags, and shelves, resulting in consumers being overcharged across its 21,000 stores, which primarily serve low-income and rural populations.

Federal filings claim the company gained millions of dollars through these practices and ignored tens of thousands of shopper complaints despite corporate knowledge of the systemic issues. The FTC stated that the retailer has repeatedly mislabeled prices and failed to correct the problem for years.

This federal action follows a separate legal resolution in New York, where Attorney General Letitia James secured nearly $1.9 million in penalties from the company for similar overcharging practices. While the New York settlement preceded the current lawsuit, the state did not join the FTC's multi-state complaint.