FTC and 17 States Secure $63 Million Settlement With Family Dollar Over Register Prices Higher Than Shelf Prices
The U.S. Federal Trade Commission announced on November 12 that Family Dollar will pay $63 million to settle allegations by the FTC and 17 states that the discount retailer routinely charged customers more at the register than the prices displayed on shelves, price tags and advertisements, costing consumers millions of dollars.
The proposed order prohibits Family Dollar from misrepresenting the price of its goods or services and requires the retailer to establish and implement a pricing accuracy program that is independently assessed and annually certified. Under the order, Family Dollar will establish a $40 million consumer redress fund payable to eligible consumers and a $20 million discount program for its customers, with payments exceeding $3 million also made to the states. The company must notify customers of their redress fund eligibility by clearly posting notices in its stores and on its digital platforms.
Christopher Mufarrige, Director of the FTC's Bureau of Consumer Protection, said the FTC is committed to ensuring price transparency and fairness so consumers can make informed choices, and that the order will ensure Family Dollar stops deceiving consumers about its prices and returns money to consumers harmed by the practices.
According to the complaint, thousands of Family Dollar stores nationwide overcharged shoppers, including in low-income communities with limited access to full-service grocery stores, while failing to correct the issue despite being warned. In the last five years, state and local regulators cited Family Dollar for thousands of pricing violations, resulting in fines exceeding $3 million; in the last three years, the company entered multiple settlements with state attorneys general and consumer protection agencies, paying over $800,000 in penalties for inaccurate pricing. The complaint also alleges the company charged more at the register than prices listed on its website and mobile app, and that its Smart Coupons discounts often could not be redeemed because the app did not work, a problem consumers have reported to the company for six years.
The Commission vote authorizing the complaint and stipulated final order was 2-0, and the case was filed in the U.S. District Court for the Eastern District of Virginia. The FTC noted that in a related complaint filed on October 26, 2026, it and state partners sued Dollar General Corporation for similar deceptive pricing practices, and that litigation is ongoing.
(Source: U.S. Federal Trade Commission)
Source: U.S. Federal Trade Commission
Published by GSM · USA (original Chinese edition)
Photo: 图：联邦贸易委员会（FTC）总部 Apex 大楼，位于华盛顿特区。Carol M. Highsmith 摄，公有领域，经 Wikimedia Commons。 / Photo: The Apex Building, headquarters of the Federal Trade Commission in Washington, D.C. Photo by Carol M. Highsmith, public domain, via Wikimedia Commons.
