AG Yost sues Dollar General and Family Dollar over deceptive pricing
Excerpt from the Ohio Attorney General's December 2022 newsletter:
After receiving consumer complaints from multiple counties, Ohio Attorney General Dave Yost has taken two chains of dollar stores--Dollar General and Family Dollar--to court for allegedly advertising goods for one price and charging a higher price at the register.
"Everything we buy these days costs more - Ohioans can ill-afford businesses that draw people in with the promise of low prices only to deceive them at the checkout counter," Yost said. "This seems like a company trying to make an extra buck and hoping no one will notice. We've not only noticed but are taking action to stop it."
Dollar General, a Tennessee-based company specializing in household goods, has operated in Ohio since 2015. It has 943 stores statewide.
Ohio Department of Agriculture rules permit stores to have up to a 2% error rate on overcharges. But testing done last month in Butler County by the county auditor's Department of Weights and Measures and made available to the Attorney General's Office found error rates ranging from 16.7% to 88.2% for 20 Dollar General stores.
Furthermore, from March 2021 to August 2022, the Attorney General's Office received 12 complaints detailing similar unfair and deceptive practices by Dollar General stores in Cuyahoga, Franklin, Highland, Lucas, Madison, Richland, Summit and Trumbull counties.
One consumer reported, for example, that a Dollar General in Franklin County listed shampoo at $1 on the shelves but charged double that amount at the register. In certain instances, consumers alleged that even after they pointed out price discrepancies, the stores would not change the price.
The lawsuit, filed in Butler County Common Pleas Court, cites violations of Ohio's Consumer Sales Practices Act, saying Dollar General listed false prices on items and engaged in bait advertising.
Just days after his office sued Dollar General, Yost filed suit against Virginia-based Family Dollar for the same type of behavior.
The second lawsuit, also filed in Butler County, cites violations of Ohio's Consumer Sales Practices Act, saying that Family Dollar listed false prices on items and engaged in bait advertising.
Family Dollar was purchased by Dollar Tree in 2015 to reach low- and lower-middle-income households through urban and rural locations.
Ohioans who suspect unfair business practices should contact the Ohio Attorney General's Office at www.OhioProtects.org or 800-282-0515.
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