Shoppers expecting Walmart’s trademark low prices may have been getting more than they bargained for—and not in a good way. A California investigation found the retail giant was charging more than it should for produce, bakery favorites, and other weighed goods, resulting in a $5.6 million penalty. Read on to discover what led to this colossal fine and what it means for shoppers everywhere.
Walmart settles multi-county case over false pricing, weight labels
Following a consumer protection lawsuit, Walmart is set to pay $5.6 million to settle allegations that the retail giant overcharged its customers. The complaint, which originated from four California counties, accuses the company of a range of deceptive pricing practices.
According to the Santa Clara County District Attorney’s Office, the Arkansas-based corporation was selling goods with incorrect weights and charging higher prices than what was advertised. The lawsuit specifically cited products like fresh produce, baked items, and other prepared foods as having weights less than what was stated on the packaging. These actions were deemed a violation of California’s False Advertising and Unfair Competition Laws.
The settlement underscores a commitment to price accuracy. District Attorney Jeff Rosen emphasized this point, stating, “When someone brings an item to the register to be scanned, the price must be right. They expect it. California expects it. My office expects it – and we will apply the law to make sure of it.”
Walmart’s history of overcharging allegations
This isn’t the first time Walmart has been in hot water over its pricing. The company has a history of similar issues, with a previous incident dating back to 2012. At that time, Walmart settled a case for $2.1 million after being found in violation of a 2008 court judgment.
The judgment was meant to protect consumers from being overcharged. According to a statement from the California Department of Justice, the retailer was supposed to have a clear policy for handling pricing errors. Then-Attorney General and former Vice President Kamala Harris explained the specific rules in a 2012 statement: “Consumers who were overcharged at the cash register should have immediately received $3 off the lowest advertised price of the item. If the price was less than $3, the item was to be given to the consumer for free.”
Walmart’s settlement is a wake-up call for every consumer
The recent settlement against Walmart for overcharging customers serves as a powerful reminder for shoppers to be vigilant. The lawsuit, which alleged incorrect prices at the register and inaccurate weights on products like produce and bakery items, highlights that even major retailers can have systemic issues.
Here are the key takeaways for shoppers:
- Always check your receipt: The most crucial takeaway is to develop a habit of reviewing your receipt before you leave the store. This allows you to catch any discrepancies between the price you saw on the shelf and the price you were charged.
- Don’t assume the price is right: Just because an item has a tag or is on sale doesn’t mean the final price will be correct. In some cases, as the lawsuit noted, the point-of-sale system may deceptively charge a higher price.
- Pay attention to unit prices and weights: For items sold by weight, like meat or bulk produce, take a moment to verify that the weight on the label matches what you are charged. The lawsuit found that products sometimes had less weight than indicated on the label, leading to overcharging.
- Know your consumer rights: Many states have laws protecting consumers from false advertising and unfair competition. Being aware of these rights empowers you to take action if you spot an error.
- Report pricing errors: If you find a discrepancy, report it immediately to a store manager. If the issue is not resolved, or if you suspect a larger pattern of overcharging, you can file a complaint with your local or state consumer protection agency. Your report can help agencies identify and investigate larger issues, as was the case in the Walmart lawsuit.
Source: USA Today