Alleged Violations Force Home Depot Into $1.9 Million Settlement The company settled but admitted no wrongdoing.
By Erin Davis
Key Takeaways
- Home Depot has agreed to pay nearly $2 million to resolve allegations of "scanner violations."
- The settlement follows accusations that Home Depot charged more than the advertised or posted prices, violating California's pricing accuracy requirements.
- The judgment includes the implementation of a price accuracy program with more audits, employee training, and prohibiting price hikes on weekends.
Home Depot, the fifth largest retailer in the nation, is settling a civil law enforcement complaint that alleges the company engaged in false advertising and unfair competition.
The retailer will pay $1,977,251, Los Angeles County District Attorney George Gascón announced last week.
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The civil complaint alleges the company engaged in "scanner violations," which can happen when the price listed on the item or the shelf tag is a different number than what rings up with the UPC at the register. This allegedly resulted in customers paying a higher price than Home Depot's lowest advertised or posted price.
The Los Angeles County District Attorney's office said in the release that Home Depot was "cooperative in the investigation and has taken steps to correct the violations."
Home Depot admitted no wrongdoing.
CNN notes that a penalty like this probably won't move the needle for the company—in March, Home Depot announced a $18.3 billion acquisition of building-projects supplier SRS Distribution.
