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Consumers Allege Wal-Mart Overcharged at the Register

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Case ID: 4635 | Consumer Products | 01/31/2006

Alleged overcharging became the basis for a consumer class action recently filed against Wal-Mart Stores. The action was filed in the United States District Court, Central District of California. The lawsuit was filed on behalf of plaintiffs Elma Casillas of West Covina, California; Aislinn Cannaday of Anderson, California; and all other similarly situated as well as the general public, the suit claims that Wal-Mart has continually engaged in a practice of overcharging its customers. The overcharging most often takes the form of a discrepancy in prices as marked at the shelf, on flyers, etc., and those that are scanned at the register.

Citing a study conducted in May 2005 jointly by the UIC Center for Urban Economic Development and the University of California-Berkley, the complaint states that the percentage of Wal-Mart overcharges is significant. For example, in California, Wal-Mart is said to overcharge its customers 3.9% of the time.

According to the attorney for the plaintiffs, "these overcharges often go undetected by the consumer or are deemed too insignificant to contest once the consumer realizes the
discrepancy. As a result, Wal-Mart garners millions of dollars in additional revenue."

The attorney for the consumers goes on to state that numerous state regulatory agencies throughout the United States have previously cited or fined Wal-Mart as a result of its practice of overcharging customers.

The filed document asks the court to stop Wal-Mart from the practice of overcharging consumers.


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