Trenton, NJ — Attorney General Matthew J. Platkin and the Division of Consumer Affairs announced today that Walmart will pay $1.64 million to settle allegations of unlawful unit pricing practices at its 64 New Jersey stores. This settlement, which includes a $1.61 million civil penalty, marks the largest ever obtained by the Division’s Office of Weights and Measures (OWM).
The allegations assert that Walmart violated New Jersey’s Consumer Fraud Act and Unit Pricing Disclosure Act (UPDA) by using inaccurate unit pricing for various grocery items. The UPDA mandates that grocery retailers display prices using a standard unit of measurement, such as per quart, pound, or per 100 sheets, to help consumers compare prices effectively.
OWM inspections during the first three months of 2023 revealed over 2,000 instances of incorrect unit measurements at Walmart stores. These errors, including the use of varying units within the same product category, made it difficult for consumers to compare prices accurately.
Attorney General Platkin emphasized the importance of accurate pricing information for consumers, especially as grocery prices rise. “The significant fine Walmart will pay as a result of this settlement sends a clear message that New Jersey will not allow retailers to engage in unlawful pricing practices that deny shoppers the ability to easily compare prices to figure out which product is a better buy,” Platkin stated.
The settlement addresses an ongoing pattern of pricing violations at Walmart. Prior inspections in 2021 and 2022 led to $226,950 in fines for similar violations.
Acting Director of the Division of Consumer Affairs, Cari Fais, warned chain retailers of the consequences of repeated violations. “We’re putting chain retailers on notice that repeatedly violating New Jersey’s pricing laws will not result in fines they can easily absorb as the cost of doing business,” Fais said. “To protect our consumers, we are pursuing significant penalties that hold companies accountable for financial harm they inflict on consumers and deter them from future unlawful conduct.”
This settlement underscores New Jersey’s commitment to enforcing consumer protection laws and ensuring fair pricing practices in the marketplace.
