Dollar General faces class action suit over register and shelf price gaps

Dollar General is facing a lawsuit from the Federal Trade Commission and 20 state attorneys general. The legal action claims the discount chain regularly charged shoppers higher prices at checkout than those displayed on shelves, price tags, and advertisements. The group filed the complaint on Monday in the U.S. District Court for the Middle District of Tennessee.

The lawsuit names Florida as one of the participating states. The other 19 states are Alabama, Arizona, Arkansas, California, Connecticut, Illinois, Iowa, Kansas, Louisiana, Michigan, Mississippi, Nebraska, New Jersey, North Carolina, Ohio, Oklahoma, Tennessee, Utah, and Wisconsin. Together, they argue that the retailer’s pricing errors have cost consumers millions of dollars over several years.

According to the 95-page complaint, the company has been aware of the issue since at least 2019. The document states that Dollar General failed to fix the problem despite receiving numerous reports. The plaintiffs argue that the chain’s internal processes make pricing errors inevitable during weekly price changes.

The complaint cites specific data on customer grievances. Between January 1, 2023, and March 31, 2026, the company received at least 29,265 complaints categorized as “Did Not Honor Marked Price.” These complaints originated from all 48 states where the retailer operates. The FTC also conducted its own investigation. Investigators made undercover purchases at stores in Ohio, Pennsylvania, Missouri, and Maryland between January 16 and April 1, 2026. The complaint notes that every single purchase resulted in the register charging more than the advertised price for multiple products.

The lawsuit points to a specific operational flaw in how stores update prices. Dollar General changes prices weekly. Employees are required to swap shelf labels during a five-hour shift called “Compliance Tuesday.” The complaint states that most price changes are increases. When the register updates before the shelf tag does, shoppers typically pay the higher amount. The document also claims stores are often too thinly staffed to print and place new labels in a timely manner.

A former assistant manager in Illinois described the staffing levels to the company’s CEO in a news article cited by the complaint. The manager said, “You’re lucky if you get to work two to four hours of your eight-to 13-hour shift with another human being.” The complaint further notes that Dollar General routinely fails pricing inspections across the United States. Most states consider an inspection failed if more than 2 percent of checked items are priced incorrectly.

The retailer has a history of settling similar disputes. Since 2019, Dollar General has settled seven state cases with six attorneys general and consumer protection agencies over pricing errors. The company has paid more than $6 million in those settlements. Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection, said the company “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.”

Dollar General responded to the lawsuit with a statement. The company argued that the action “suggests that we have abandoned our mission and willfully disregarded the affordability needs of our customers. Nothing could be further from the truth.” The statement added that the goal is 100 percent accuracy between shelf and register prices. It noted that occasional discrepancies can occur despite policies and that store teams are empowered to make things right for the customer.

The company also addressed pre-litigation talks with the FTC. The statement claimed the agency “demanded a monetary amount that was untethered to, and orders of magnitude larger than, any realistic assessment of amounts attributable to pricing discrepancies.” The next step is for the court to review the complaint and determine the timeline for discovery and potential mediation.

The lawsuit seeks to remedy the financial harm caused by the pricing discrepancies. It does not yet specify the exact amount in damages sought beyond the historical settlements. The case will be handled in Tennessee federal court, with Florida and the other 19 states listed as co-plaintiffs alongside the FTC.