The Federal Trade Commission has sued the bargain chain Dollar General for what it characterized as “long-running deceptive pricing practices” by charging customers more once they reach the register than the prices that are displayed on shelves and in advertisements.
Twenty states joined in the complaint, filed by the U.S. District Court for the Middle District of Tennessee. It said that Dollar General failed to correct the issue despite what it said was “extensive corporate knowledge of the problem.”
“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,” wrote Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection.
Dollar General, based in Goodlettsville, Tennessee, just outside of Nashville, did not immediately return a request for comment from The Associated Press.
The states joining the FTC lawsuit include: Alabama, Arizona, Arkansas, California, Connecticut, Florida, Illinois, Iowa, Kansas, Louisiana, Michigan, Mississippi, Nebraska, New Jersey, North Carolina, Ohio, Oklahoma, Tennessee, Utah and Wisconsin, according to the FTC.
Americans have become frustrated with higher prices, and also what they perceive to be new methods used by restaurant chains and major retailers in setting prices including the use of artificial intelligence tools.