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Walmart to pay $5.6m to settle lawsuit accusing company of overcharging California shoppers. What to know

The lawsuit alleged that Walmart unlawfully charged customers more than their lowest advertised or posted price.

Published on: Aug 11, 2025, 11:11:49 IST
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State officials have announced that Walmart will be paying $5.6 million to settle a consumer protection lawsuit that alleged that the company overcharged its consumers in California. The Santa Clara County District Attorney’s Office claimed that Walmart sold products with less weight than what was shown on the label. These products included produce, baked goods and other prepared foods or items, according to Newsnation.

Walmart to pay $5.6m to settle lawsuit accusing company of overcharging California shoppers (Unsplash)
Walmart to pay $5.6m to settle lawsuit accusing company of overcharging California shoppers (Unsplash)

The civil complaint was filed by several California counties, including San Bernardino County. The complaint also alleged that the company unlawfully charged customers more than their lowest advertised or posted price, which would mean it violated California's False Advertising and Unfair Competition laws.

“When someone brings an item to the register to be scanned, the price must be right,” said Santa Clara County District Attorney Jeff Rosen. “They expect it. California expects it. My Office expects it – and we will apply the law to make sure of it.”

Read More | Walmart boycott begins today: Everything you need to know as organiser issues update

Walmart was sued for allegedly overcharging customers in 2012, following which the retail giant paid $2.1 million to settle. In the latest case, Walmart will pay $5.5 million in civil penalties, and $139,908.92 to cover the costs of the investigations. This settlement was reached with the DA’s Offices from Santa Clara, San Diego, San Bernardino and Sonoma counties.

Walmart faced boycotts this year

Walmart has already faced two boycotts in 2025. In April, the People’s Union USA organized a week-long boycott of Walmart in the United States. It was the latest in a series of economic blackouts targeting key corporations that have rolled back their Diversity, Equity, and Inclusion (DEI) programs.

Walmart faced yet another boycott in May, again organized by the advocacy group People’s Union USA, which accused the company of “crushing small businesses” and “underpaying” its employees. Both in-store and online shopping at Walmart locations were included in the boycott. Affiliated Walmart-branded companies like Sam’s Club, as well as private label brands such as Great Value and Equate, also faced the boycott.

  • Sumanti Sen
    ABOUT THE AUTHOR
    Sumanti Sen

    Sumanti Sen covers everything that’s happening in the US, from politics to entertainment, but her expertise lies in covering crime news. She has comprehensively chronicled the Idaho student murders, the Laken Riley and Iryna Zarutska cases, and the killing of Charlie Kirk, among other incidents. Over the years, she has interviewed several victims/families of victims of crimes seeking justice. She digs up stories that might otherwise remain unheard, and does her bit to ensure that victims and survivors’ voices are heard. Sumanti’s many years of experience also include interviews with Hamas attack survivors and mental health experts, among others. Her coverage of the October 7 Hamas attack on Israel and interviews with survivors of the tragedy, coupled with her other works including the Titan submersible coverage, earned her the Digi Journo of the Quarter award during her first year at Hindustan Times. Sumanti actively tracks missing person cases in the United States, and peruses Reddit and other social media platforms to bring to light cases that frequently elude public attention. She has extensively covered the disappearances of Nancy Guthrie, Thomas Medlin, Beau Mann, and Sudiksha Konanki, among others. When not at work, you will either find her with her novels, or with her beloved rescue pooches.Read More

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