Here's why Walmart has Agreed to pay $45 Million as Settlement to Customers

Walmart is one of the leading retail chains across the globe, and the go to option for Americans to find daily essentials. But it has also found itself on the receiving end of complaints from consumers in the past few years, either due to pricing or new policies at its stores. In a significant development for Walmart shoppers across the nation, the retail giant has agreed to a $45 million settlement to resolve a class-action lawsuit alleging deceptive business practices. The lawsuit filed in 2022 accused Walmart of overcharging customers for certain products and misleading labeling practices, per NPR.

According to the settlement terms, customers who purchased specified "weighted goods," such as meat, poultry, pork, and seafood products, as well as bagged citrus fruits, at Walmart stores in the U.S. and Puerto Rico between October 19, 2018, and January 19, 2024, may be eligible for cash payments.

Walmart was accused of mentioning the false weight for certain grocery items, mislabeled bagged produce, and overcharged for clearance products sold by weight. This forced the customers to pay more than the advertised price.

While Walmart has consistently denied the allegations and any wrongdoing, it opted for a settlement to avoid prolonged litigation. A spokesperson for the company reiterated this stance, stating, "We still deny the allegations; however, we believe a settlement is in the best interest of both parties."

How much money can shoppers expect?

The amount each customer receives from the Walmart settlement will vary depending on their eligibility and documentation. If customers have receipts, proof of purchase, or other documentation for the weighted goods or bagged citrus bought from a Walmart store during the specified period, they could receive 2% of the total cost of those items, with a maximum compensation cap of $500 per person. For those without receipts or documentation, eligibility for compensation remains possible. The amount they receive hinges on the quantity of weighted goods or bagged citrus purchased during the settlement period. This ranges from $10 for up to 50 items, to $25 for 101 or more items. To claim compensation, customers can submit their claims at walmartweightedgroceriessettlement.com or via mail by downloading the claim form or requesting a paper copy by calling the claims administrator at 1-833-987-9998.

Payment process and timeline

Settlement payments will be distributed electronically via platforms such as Venmo, Zelle, ACH, or virtual prepaid Mastercard. Alternatively, claimants can request paper checks. However, the settlement administrator cautions that it may take several months for payments to be finalized and processed.

The final approval hearing for the settlement is scheduled to take place on June 12 at the U.S. District Court for the Middle District of Florida in Tampa. Pending any appeals, settlement payments will be processed after the hearing.

Apart from this, the retail giant settled on March 7 with the U.S. Equal Employment Opportunity Commission (EEOC) regarding a disability discrimination lawsuit. The EEOC accused Walmart of violating the Americans with Disabilities Act (ADA) by revoking an employee's permission to use a store electric cart as a reasonable accommodation for his disability. The employee, Luis Quiñones, who uses a prosthetic leg, was forced to take unpaid leave after Walmart claimed the electric carts were for customer use only. Despite accommodating other employees with temporary injuries, Walmart failed to provide an alternative accommodation for Quiñones, leading to his indefinite unpaid leave. As part of the settlement, Walmart will pay $70,000 in damages and offer Quiñones a job at one of its South Carolina locations.