A Dollar General store in New York, United States, on Tuesday, June 3, 2025.
Adam Gray | Bloomberg | Getty Images
The Federal Trade Commission said Monday it had filed a lawsuit alongside 20 states accusing Dollar General of charging its customers more than the prices it displays on shelves, price tags and in advertisements.
Actions of Dollar General fell around 4 o’clock% after the FTC announced the lawsuit.
The complaint alleges that thousands of Dollar General stores have “taken advantage of vulnerable shoppers by extorting millions of dollars from them in illegal overcharging, without sufficient safeguards to prevent the practice.”
It also claims that Dollar General received “tens of thousands” of consumer complaints about higher than advertised prices, but failed to implement policies to address the problem.
The states joining the FTC in the lawsuit are 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 betrayed the trust of millions of American consumers and imposed significant financial harm on communities and consumers already struggling to make 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 as shoppers seek discounts while facing high food and gas prices. Officials across the political spectrum also want to showcase efforts to protect consumers from high costs ahead of next week’s midterm elections.
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