This is an archival story that predates current editorial management.
This archival content was written, edited, and published prior to LAist's acquisition by its current owner, Southern California Public Radio ("SCPR"). Content, such as language choice and subject matter, in archival articles therefore may not align with SCPR's current editorial standards. To learn more about those standards and why we make this distinction, please click here.
A Cure for Common Overcharging: CVS Pharmacy Will Payout $2M in False Advertising Lawsuit
CVS Pharmacy got called out, and now they're going to be paying out: The company announced today they will pay $2 million as a result of a consumer protection civil lawsuit filed earlier this month by the District Attorneys of Los Angeles, Riverside and Ventura counties. The suit alleges CVS used false advertising by not providing an immediate discount for some advertised items.
An investigation also determined that between 2006 to the present, CVS routinely charged consumers more for items than the advertised sale price, report L.A. County officials.
The payout is broken down as $1.2 million in civil penalties and $420,000 in investigative costs, and a $300,000 contribution to California's Department of Measurement Standards, as well as an additional $100,000 to the Consumer Protection Trust toward enforcement of consumer protection laws.
Though they worked with prosecutors on the settlement, CVS agreed to the payout "without admitting liability."
CVS says they'll be more vigilant about their pricing programs, and will put in place weekly checks to monitor pricing and to ensure customers are getting charged the right price at the register.