In brief

• The FTC and 20 states sued Dollar General over alleged deceptive pricing practices.
• The lawsuit claims the retailer overcharged customers by millions of dollars between 2019 and March 2026.
• The complaint cites nearly 30,000 consumer complaints regarding price discrepancies.
• Dollar General's stock fell about 4% after the FTC announced the lawsuit.

Federal and state lawsuit filed in Tennessee

The Federal Trade Commission, along with twenty states, lodged the complaint in the federal court in Nashville, Tennessee, on Monday. The lawsuit targets Dollar General, which operates over 21,000 locations throughout the United States (The FTC accuses Dollar General of routinely overcharging customers – Business Insider). The states participating in the action include Alabama, Arizona, California, Florida, Illinois, Michigan, New Jersey, North Carolina, Ohio, Tennessee, and Wisconsin, among others (‘Imposed significant financial harm’: 20 states join the FTC in suing Dollar General for ‘deceptive pricing practices’ despite ‘corporate knowledge’ – Fortune).

Allegations of years-long mispricing

The complaint asserts that Dollar General charged customers more than the prices shown on price tags, shelves and in promotional materials. The alleged discrepancies occurred between 2019 and March 2026, and enforcement agencies say the overcharges amounted to millions of dollars (Dollar General sued by FTC, U.S. states over alleged overcharging – Investing.com) (FTC and 20 states sue Dollar General, alleging retailer overcharged shoppers – CNBC). The FTC stated that the company did not correct the situation despite having extensive internal awareness of the issue.

Consumer complaints and systemic issues

The filing indicates that Dollar General received numerous complaints from shoppers who noticed discrepancies between advertised prices and the final amount charged. Investing.com indicated that the volume of these complaints approached 30,000, while Business Insider cited the figure as tens of thousands. The enforcers contend that the company failed to put in place adequate safeguards to prevent these errors.

Link to earlier Guardian reporting

The lawsuit references an investigation conducted by The Guardian in December 2025, which examined pricing at dollar stores and the practice of charging customers more than listed prices. The complaint argues that the retailer routinely charged more at the point of sale, contrary to its promises of low costs and accessibility.

Company response and market reaction

Dollar General did not immediately respond to requests for comment. Following the FTC's announcement of the suit, the company's stock decreased by about 4%, according to CNBC. The legal action follows a separate agreement the retailer reached with New York Attorney General Letitia James regarding pricing matters less than two weeks prior.