Home Depot is reportedly preparing to pay nearly $2 million to customers over false advertising and unfair competition in California.
The legal action was brought on by “scanner violations,” which led to several San Diego district attorneys filing a complaint claiming the store overcharged customers. Unfortunately, customers would see one price on the shelf but essentially see a higher price at checkout.
In a statement, Los Angeles County District Attorney George Gascón highlighted the seriousness of false advertisements and unfair competition, emphasizing that the practices could taint customers’ trust in the company and interrupt the fairness of the marketplace.
“False advertising and unfair competition are serious offenses that undermine consumer trust and distort the marketplace,” Los Angeles County District Attorney George Gascón said.
Despite not admitting any wrongdoing, Home Depot must pay $1.7 million in civil penalties in addition to $277,251 to cover investigation costs and support consumer protection efforts. As part of the settlement agreement, Home Depot will be required to implement a price accuracy program to avoid similar issues in the future.
