Safeway has settled a lawsuit over claims that it charged customers for unauthorized fees. Customers in Portland, Oregon, who were unfairly blamed for non-food items will get $8.75 million from the Pleasanton, California-based retailer, an Albertson’s affiliate.
Safeway has settled a lawsuit over claims that it charged customers for unauthorized fees. Customers in Portland, Oregon, who were unfairly blamed for non-food items will get $8.75 million from the Pleasanton, California-based retailer, an Albertson’s affiliate.
The year 2019 marked the beginning of Portland’s 1% clean energy levy on the earnings of major retailers in the city. Safeway is being accused in a lawsuit of illegally charging customers a tax from September 2019 through July 2020. The supermarket chain has refuted the allegations.
The settlement caps payouts at $200 per customer, with the exact amount depending on the number of claims submitted. Payments for Safeway and Albertsons occurred in May. Safeway and Albertsons settled for $107 million last week after being accused of deceiving customers with a buy-one-get-one-free promotion.
Customers filed that case, claiming that Safeway was “…paying more per pound than regularly priced meat, and they are buying more meat in order to obtain the illusory ‘free’ product.”
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Initially filed in 2016, the claim provided an example: boneless pork chops were listed at $12.99 per pound under the buy-one-get-one-free sale when they were usually $4.49 per pound.
Even though neither Safeway nor Albertsons has admitted guilt in the BOGO case, they have nevertheless reached a settlement that will affect shoppers who purchased meat at Oregon-based Safeway and Albertsons locations using a Safeway Club Card at Safeway locations and coupons at Albertson’s supermarkets.
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