US lawmakers ask FTC to investigate Dollar General and 7-Eleven overcharging

The 28 October letter, written by House Democrats from 17 states and the District of Columbia and addressed to FTC chair Andrew N Ferguson, a Trump appointee, responds to two Guardian investigations. The first, published in December, found that Dollar General failed more than 4,300 government price-accuracy inspections in 23 states over three years, on items including peanut butter, spaghetti sauce and Flintstone vitamins. Family Dollar failed 2,100 inspections in 20 states over the same period. The second, published last month, found a similar pattern at 7-Eleven and Circle K, with overcharges reported for snacks, beverages, toiletries, tobacco and medications, and at some stores, gasoline prices above the figures on roadside signs.

The lawmakers wrote that the scale of documented violations “seems to be the result of systemic failure within corporate operations, leading to customers overpaying for their groceries, potentially without knowing.” They said these stores are often the sole option for essentials in underserved neighborhoods and rural communities, giving them a “unique position of trust and responsibility.”

The letter came two days after the FTC and 20 states filed a federal lawsuit accusing Dollar General of a “pattern of inaccurate pricing” that “affects millions of purchases”. The lawsuit claims the company knew about the problem for years without correcting it. Of the lawsuit, the lawmakers wrote: “While this step is positive, the widespread nature of the issue revealed by public reports and state inquiries warrants a full-scope probe.”

Dollar General said it aims for 100% price accuracy, cooperated with the FTC’s investigation, and vowed to “defend this litigation vigorously”. All four companies have told the Guardian in written statements that they try to keep register prices consistent with shelf prices.

The request also lands on the eve of a midterm election in which affordability is a major concern. In a Harris Poll for the Guardian, voters listed gas prices, grocery prices and living expenses as their top three issues; an AP-Norc poll found nearly 80% of voters disapproved of Donald Trump’s handling of the cost of living.

Representative Nikki Budzinski of Illinois, the letter’s lead author, said gas prices in her district were $4.50 a gallon, forcing families to make difficult choices between filling the tank and filling the grocery basket. She said she and 29 colleagues wrote to the CEOs of Dollar General and Family Dollar in December seeking internal documents, but neither company complied, “so we’re taking the next step of going to the FTC and asking them to do enforcement”.

Representative Shontel Brown of Ohio described visiting a Dollar General near her home to buy soda and finding the register total did not match the advertised price. A cashier told her the system does that a lot with the pop. Brown said she left without buying, and noted many constituents do not have the luxury of not counting every dollar in their budget.