Costco Canada accused of ‘double-ticketing’ in proposed class-action lawsuit
A Canadian consumer named Sara Montcalm recently filed a proposed class-action lawsuit against Costco alleging the retail giant has been engaging in a practice known as “double-ticketing.” This practice involves charging customers more at the checkout than the prices displayed on the shelves.
Montcalm claims that when she went to purchase a home entertainment center at a Costco store in Ancaster, Ontario, she was charged more than the advertised price. Despite pointing out the discrepancy to Costco staff, she was met with resistance and told that the price on the shelf was incorrect. Montcalm decided to proceed with the purchase and later discovered that she was not the only customer affected by this pricing issue.
The lawsuit alleges that Costco uses electronic shelf labels that show one price but charges a higher price at checkout. This practice is a violation of the Scanner Price Accuracy Code, an industry standard under the Competition Bureau of Canada, which requires retailers to sell products for the lowest displayed price.
According to Montcalm, she had experienced double-ticketing at Costco locations in Ancaster and Stoney Creek, and she believes the issue is widespread across various Costco stores. The lawsuit aims to obtain compensation for overcharged customers and to put an end to Costco’s alleged double-ticketing practices.
Costco has responded to the allegations by stating that the company is committed to selling products at the lowest displayed price. However, the lawsuit alleges that this commitment has not been upheld in practice, as evidenced by the instances of double-ticketing experienced by Montcalm and other customers.
Retail experts have weighed in on the issue, noting that double-ticketing can erode consumer trust in a company and lead to reputational damage. Customers rely on accurate pricing information when making purchasing decisions, and discrepancies between displayed prices and actual charges can undermine their confidence in a retailer.
The proposed class-action lawsuit against Costco Canada sheds light on the importance of pricing transparency and accuracy in retail operations. Consumers expect to be charged the correct price for products based on what is displayed on the shelves, and retailers have a responsibility to ensure that pricing discrepancies are promptly addressed and rectified.
In conclusion, the lawsuit filed by Sara Montcalm against Costco Canada raises concerns about the alleged practice of double-ticketing and its impact on consumer trust and confidence. Pricing accuracy is a fundamental aspect of retail operations, and retailers must adhere to industry standards to maintain transparency and trust with their customers. The outcome of this proposed class-action lawsuit may have implications for Costco’s pricing practices and serve as a reminder to other retailers to uphold pricing integrity to avoid similar consumer complaints.
