Mercer Times

Attorney General Matthew J. Platkin and the Division of Consumer Affairs announced today that Walmart has agreed to pay $1.64 million to resolve allegations of unlawful unit pricing practices at its 64 retail stores in New Jersey. The settlement includes a $1.61 million civil penalty, the largest ever obtained by the Division’s Office of Weights and Measures (OWM).

The allegations state that Walmart violated New Jersey’s Consumer Fraud Act (CFA) and Unit Pricing Disclosure Act (UPDA) by using inaccurate unit pricing for various grocery products sold in its New Jersey locations.

The UPDA mandates that grocery retailers display prices using a standard unit of measurement, such as per quart or per pound, to facilitate consumer price comparisons among differently packaged products.

New Jersey is one of nine states with mandatory unit pricing laws. During the first three months of 2023, OWM conducted inspections at Walmart stores statewide and found over 2,000 instances where incorrect units were used. Additionally, varying units within the same product category made it difficult for consumers to compare prices effectively.

“As the price of grocery items continues to rise, it’s more important than ever to ensure consumers have all the information they need—and are entitled to by law—to make educated decisions on how to spend their money,” said Attorney General Platkin. “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.”

Previous inspections in 2021 and 2022 led to $226,950 in fines against Walmart for similar 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,” said Cari Fais, Acting Director of the Division of Consumer Affairs.

In November 2023, Dollar General Corp. agreed to a $1.2 million settlement for similar allegations involving pricing violations identified during OWM inspections.

As part of this latest settlement, Walmart must pay a $1,616,091 civil penalty and reimburse $25,409 for investigative costs and attorney fees. Additionally, Walmart is required to implement changes outlined in a Consent Order filed with the Division today:

- Comply with all applicable state and federal laws.

- Use approved units of measure for regulated commodities.

- Incorporate training on compliance with New Jersey’s unit pricing laws into onboarding processes within 90 days.

- Conduct internal audits annually at each store for three years.

- Submit corrective action plans semi-annually.

- Retain audit reports and records for three years.

Investigators Joseph Singh, Michelle Szatkowski, Aniyah Brooks, and Shianne Vieira conducted these inspections under Chief Investigator Kelly Fairclough's supervision. Deputy Attorney General Jeffrey Kozier represented the State under Consumer Fraud Prosecution Section Chief Jesse Sierant's supervision.

Consumers who believe businesses violate New Jersey’s consumer protection or pricing laws are encouraged to file an online complaint or call 1-800-242-5846 for a complaint form by mail.

The mission of the Division of Consumer Affairs is to protect the public from fraud through education, advocacy, regulation, and enforcement across various sectors including professional boards overseeing approximately 750,000 licensees in New Jersey.