FTC and states sue Dollar General over consumer protection and privacy claims

The Federal Trade Commission and a group of states sued Dollar General on Monday, alleging violations of federal consumer protection and privacy law. The company disclosed the suit the same day in an 8-K and said it plans to fight it.

The suit was filed in the U.S. District Court for the Middle District of Tennessee. It alleges that the discount retailer violated Section 5(a) of the FTC Act and the Gramm-Leach-Bliley Act, as well as various state consumer protection and weights and measures laws, according to the filing.

The plaintiffs are seeking injunctive relief, a monetary judgment, civil penalties and other relief.

How it got here

According to the 8-K, Dollar General has been cooperating with FTC staff since early February. The agency had issued a Civil Investigative Demand dated Jan. 30, 2026, as part of a non-public investigation into the company's marketing, advertising, offering for sale and sale of products.

On Sept. 23, FTC staff sent the company a draft federal complaint and a draft settlement order and demanded "significant monetary relief." Dollar General said it had received no settlement demand or investigative findings before then, and no settlement talks had taken place.

The company said it has since tried to resolve the matter without litigation. In its view, the FTC's demands for redress rely on "assumptions and methodology the Company believes are unsupported and materially overstate any alleged consumer harm."

Risk flagged

Dollar General said it "intends to vigorously defend this matter." It also warned that its defense could be costly, and that if it does not succeed, the outcome "could have a material adverse effect" on its consolidated financial statements.

The filing does not say how much money the FTC is seeking.

Key facts

• Plaintiffs: the FTC and various states
• Court: U.S. District Court, Middle District of Tennessee
• Filed: Oct. 26, 2026
• Laws cited: FTC Act Section 5(a), Gramm-Leach-Bliley Act, state consumer protection and weights and measures laws
• Relief sought: injunction, monetary judgment, civil penalties

Sources

1. Dollar General Corporation, Form 8-K (Item 8.01), filed Oct. 26, 2026 (accession 0001104659-26-118869)

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