PetSmart to pay over $1 million for overcharging California customers
SANTA CRUZ COUNTY, Calif. (KION-TV)- On Thursday, Santa Cruz County District Attorney Jeffrey S. Rosell announced that PetSmart LLC has agreed to pay $1.46 million to settle a civil law enforcement complaint that said PetSmart engaged in false advertising and unfair competition.
The lawsuit was filed in Santa Cruz County. Rosell said that Sonoma, Alameda, Marin, San Diego, Ventura, Contra Costa and Ventura counties joined the lawsuit as well.
Prosecutors said in the suit that PetSmart unlawfully charged customers prices higher than their lowest advertised price for items.
PetSmart will pay $1.25 million in civil penalties, $100,000 in restitution to support efforts for consumer protection and $110,000 for the cost of the investigation to the various counties. Rosell said that PetSmart implemented new policies and procedures to improve pricing accuracy.
Rosell said that PetSmart will have to notify customers of their right to be charged the lowest currently advertised price for any item offered for sale. PetSmart will have to add additional audit and price accuracy procedures in its California stores for a three-year period.
In the agreement, the company cannot engage in false or misleading advertising and charging an amount greater than the lowest price posted for an item.
"Consumers should always watch as items are scanned at the register and check receipts to verify that they are charged the lowest advertised or posted price for items," Rosell said.