20 States Join FTC Suit Against Dollar General Over Price Mismatches

Nashville. The Federal Trade Commission filed a lawsuit against Dollar General in the U.S. District Court for the Middle District of Tennessee on Sunday. Twenty state attorneys general joined the complaint to challenge what regulators described as deceptive pricing practices. The core allegation is that the company charged customers more at the checkout counter than the prices listed on product tags and in advertisements.

Dollar General, which maintains its headquarters in Goodlettsville, operated under the pressure of rising consumer costs. The FTC stated that the chain had extensive corporate knowledge of the issue but failed to correct it. Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection, wrote that the company betrayed the trust of millions of American consumers. He noted that the practices imposed financial harm on communities where residents are struggling to make their paychecks last.

The complaint was filed in federal court in Tennessee. The participating states include Alabama, Arizona, Arkansas, California, Connecticut, Florida, Illinois, Iowa, Kansas, Louisiana, Michigan, Mississippi, Nebraska, New Jersey, North Carolina, Ohio, Oklahoma, Tennessee, Utah, and Wisconsin. The legal action targets the discrepancy between shelf prices and final charges.

Dollar General did not immediately return a request for comment from The Associated Press regarding the new litigation. The retailer has faced growing frustration from Americans over higher prices and the use of new methods, including artificial intelligence tools, in price setting.

The case is now scheduled for processing in the Middle District of Tennessee. The FTC and the 20 states will pursue the claims against the Goodlettsville-based chain in federal court.