Macy's West Settlement
San Francisco–based Macy’s West Inc., the West Coast division of the Federated Department Store chain, announced it has reached a settlement with the district attorneys’ offices in Los Angeles, Marin, Shasta and Sonoma counties and with the City Attorney of San Diego regarding pricing discrepancies at Macy’s stores in California. Attorneys for the retailer said the settlement was reached without “admitting any wrongdoing.” The settlement stems from a complaint that consumers were overcharged for merchandise that was intended to be salepriced. Under the agreement, Macy’s will pay $1.2 million in civil penalties, as well as additional moneys for a state and county fund to upgrade consumer protection and price-accuracy efforts. The retailer will also issue a $5-off coupon in California newspapers through August. Internally, the retailer will implement several measures to address the problem, including establishing a team to oversee in-store signage, auditing and employee training, and launching a price-accuracy program that will give consumers a price break if they are overcharged. The new price-accuracy policy will be posted at registers throughout the stores.
