Dollarama reaches $2.5M settlement in class-action go well with over pricing

Dollarama prospects who bought merchandise topic to an eco price — reminiscent of batteries, electronics, gentle bulbs or toys with batteries — could also be eligible to assert a present card.

The Montreal regulation agency of LPC Avocats Inc., introduced Tuesday that the proposed nationwide settlement has been reached in a class-action lawsuit about costs marketed and charged by Dollarama for merchandise topic to an Environmental Dealing with Price (EHF). It is topic to court docket approval in April. 

The plaintiff within the lawsuit alleged that the Montreal-based retailer didn’t correctly show the value of merchandise topic to EHF and charged a complete value or EHF larger than displayed or allowed by regulation.

Richard Powers, an affiliate professor on the College of Toronto’s Rotman Faculty of Administration, mentioned the settlement is a “drop within the bucket” for a corporation like Dollarama.

“I am unsure how robust a case the plaintiffs had, however [Dollarama] clearly wished to eliminate it simply due to the reputational harm that may associate with that,” he mentioned.

April 5 deadline to assert reward card

Below Quebec and shopper safety laws, retailers need to show the complete value of a product — slightly than a fragmented value — so that customers know precisely how a lot they’re paying as they strategy the money, in keeping with Joey Zukran, a lawyer at LPC Avocats and the category motion counsel.

“Simply a few days after the lawsuit was filed, Dollarama instantly modified its observe nationwide,” Zukran instructed CBC Information.

Dollarama denies any legal responsibility or wrongdoing. A listening to on April 9, 2024 will resolve whether or not to approve the settlement earlier than any compensation is supplied to class members.

WATCH | Prospects may get some a reimbursement after class-action settlement: 

Dollarama settles $2.5M eco-fee class-action lawsuit

Canadian retailer Dollarama reached a $2.5-million class-action lawsuit settlement for not clearly conveying environmental dealing with charges to customers. The plaintiff within the lawsuit alleged that the costs marketed and charged for merchandise topic to an eco price, like batteries, electronics, gentle bulbs, weren’t correctly displayed.

Anybody who bought a product topic to an EHF from Dollarama in Quebec between Dec. 11, 2019, and July 4, 2023, or elsewhere in Canada between Might 29, 2021, to July 4, 2023, may receive a present card with a most worth of $15.00.

If a excessive quantity of shoppers take up the settlement, it may cut back the reward card quantity per particular person — although a few of the claims may very well be as little as eight cents, Zukran mentioned.

The category motion additionally contains Buyers Drug Mart and its Quebec counterpart Pharmaprix, which haven’t filed a settlement.

To say a present card, eligible prospects should present their e-mail deal with by April 5, 2024. LPC Avocats says no proof of buy is required.

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