The plaintiff claims the price at checkout is higher than the posted price
of ConsumerAffairs
Walmart advertises Everyday low prices but a lawsuit claims those prices are deceptive. A court in Illinois has ruled that the suit against the retailer can go forward.
The plaintiff, Yoram Kahn, claims Walmart posts one price on the shelf, but when the item is checked out, the price is slightly higher. Over multiple transactions, the complaint alleges that Walmart pads its profits by millions of dollars.
Khan told the court that he shopped at a Walmart store in Niles, Illinois, on Aug. 2, 2022, and took note of the prices on the shelves. When he checked out, he was charged more than the price on the shelves.
Khan said the price difference on the six items came to $1.89. He contends that Walmart violated the Illinois Consumer Fraud and Deceptive Business Practices Act, the Illinois Uniform Deceptive Trade Practices Act and other states consumer protection statutes.
Before a U.S. District Court, Walmart successfully argued for the suits dismissal. However, Khan appealed to the 7th Circuit Court of Appeals in Chicago, which ruled the case can go forward.
What the court said
The district court dismissed the case on the pleadings and denied leave to amend the complaint, the justices wrote in their opinion. We reverse because the complaint states some viable claims.
Before the lower court, Walmart argued that because Khan was given a receipt for his translation, showing what he paid, there was no deception. The appeals court didnt buy it.
We reject the theory that providing a customer with a receipt after payment stating the actual price charged is sufficient, at least as a matter of law, to dispel any potential deception or unfairness caused by an inaccurate shelf price.
Photo Credit: Consumer Affairs News Department Images
Posted: 2024-07-09 13:15:42
