Toys R Us to pay $180,000 to settle lawsuit alleging overcharging
The parent company of Toys R Us and Babies R Us agreed to pay nearly $180,000 to settle a lawsuit alleging that the retailers overcharged Southland shoppers, according to the Los Angeles County district attorney’s office.
The Wayne, N.J., business did not admit liability, according to prosecutors, who filed suit against the company in Los Angeles County Superior Court after working alongside the San Diego County district attorney’s office.
Officials in Los Angeles, San Diego and Ventura counties began probing Toys R Us and Babies R Us in late 2009, according to prosecutors. The company has 30 stores in Los Angeles County and 10 in San Diego County.
Investigators purchased 4,167 items from the stores and found that they had been overcharged in 5% of cases, according to prosecutors.
Toys R Us did not immediately respond to requests for comment.
The company will pay $150,000 in civil penalties and $28,730 in investigative costs, according to prosecutors. Toys R Us will also be required to institute an internal compliance program that reports annually to prosecutors in Los Angeles and San Diego counties.
The retailer recently emerged from the hectic Black Friday shopping extravaganza, during which it offered a continuous slate of discounts.
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