FTC and 20 states sue Dollar General, alleging shoppers paid more at the register than posted prices

The Federal Trade Commission announced Monday, Oct. 26, 2026, that it and 20 states had sued Dollar General Corp. in the U.S. District Court for the Middle District of Tennessee. The suit alleges that the retailer rang up many products at prices higher than those on its shelf tags and in its advertising.¹

According to the FTC’s announcement, the commission voted 2-0 to file the complaint. The agency says it files a complaint when it has “reason to believe” the law is being or is about to be violated and that a case would be in the public interest. A court will decide the case.¹

What the complaint alleges

The FTC says Dollar General operates more than 21,000 stores nationwide. Its announcement alleges that the company charged more at the register than posted prices at “thousands” of those stores, mislabeled prices over a period of years and, after being told of the problem, did not put in place policies adequate to fix it. The agency alleges the practice cost consumers “millions of dollars” and that consumers filed “tens of thousands” of complaints saying an advertised price was not honored.¹

The FTC and the states allege the conduct violates federal law, including the FTC Act, and state laws.¹ CBS News reported that the suit seeks a permanent injunction along with monetary and other relief.²

The states

The state plaintiffs, as listed by the FTC, are:¹

• Alabama, Arizona, Arkansas, California and Connecticut
• Florida, Illinois, Iowa, Kansas and Louisiana
• Michigan, Mississippi, Nebraska, New Jersey and North Carolina
• Ohio, Oklahoma, Tennessee, Utah and Wisconsin

The company’s response

CBS News reported that Dollar General did not immediately reply to a request for comment.² No statement from the company on the lawsuit was found in the records reviewed for this story.

Earlier state actions on pricing

Several state attorneys general have previously resolved pricing claims against Dollar General, according to their own announcements:

• Ohio, one of the plaintiffs in the new suit, reached a $1 million agreement with the company in November 2023 over allegations that some items rang up higher than shelf prices and that prices were not adjusted when customers pointed out the difference. The attorney general’s office said in February 2024 that $750,000 of it went to food banks.³
• Colorado’s attorney general announced a $400,000 settlement on Oct. 16, 2025. The office said its investigation, including state price inspections, found register prices above shelf prices. The company agreed to post signs promising to honor the lowest price, audit prices at its Colorado stores for three years and share the audit reports with the office.⁴
• Pennsylvania’s attorney general announced a $1.55 million settlement in penalties and costs on Dec. 9, 2025, filed as an assurance of voluntary compliance in the Allegheny County Court of Common Pleas. It resolved allegations that the company misrepresented prices in violation of the state’s consumer protection law. The office said the settlement is not to be treated as an admission of a legal violation.⁵

The Ohio and Colorado announcements do not say whether the company admitted or denied the claims, and none of the three announcements includes a statement from Dollar General.³⁴⁵

Colorado and Pennsylvania are not among the 20 states in the new suit.¹

What the records do not show

• The FTC’s complaint document and case page could not be opened for this story, so the case number, specific counts, state law claims and full request for relief are not described here; the account above relies on the FTC’s announcement and, for relief, CBS News.¹²
• The FTC’s announcement does not give an overcharge rate, audit results or a dollar total beyond “millions of dollars.”¹
• The announcement does not name the commissioners who voted.¹
• No response from Dollar General was found, and no court has ruled on the allegations.²