NEWARK
– The Attorney General’s Office
and the Division of Consumer Affairs have
filed suit against Rite Aid Corporation
and Rite Aid of New Jersey, Inc., alleging
that the defendants sold expired merchandise,
including non-prescription drugs, infant
formula and baby food, and charged consumers
prices in excess of those listed on the
shelf, Attorney General Stuart Rabner and
Acting Director Stephen B. Nolan announced
today.
The
complaint, filed in State Superior Court
in Union County, seeks to assess civil penalties,
consumer restitution and to direct the defendants
to remove and destroy all expired non-prescription
drugs, infant formula or baby food from
any Rite Aid store in New Jersey. The complaint
alleges that the defendants violated the
Consumer Fraud Act (CFA) and the Weights
and Measures Act, and violated the terms
of prior agreements with the Division.
“It
is unconscionable that a store would sell
expired merchandise - especially infant
formula, baby food and nonprescription medications
- to unsuspecting consumers who rely on
these products for the care and welfare
of their loved ones,” said Attorney
General Rabner. “The behavior of these
stores is even more egregious because they
had previously agreed not to engage in any
such violations and cease and desist from
selling expired products.”
“We
would expect that these stores would not
sell expired merchandise. Unfortunately,
our investigators found otherwise and directed
the managers at the stores that were inspected
to remove expired products from the shelves,”
said Acting Director Nolan. “It is
our intention that this suit will halt all
sales of expired or overpriced merchandise
and ensure that consumers are protected.”
During
the period of August 14, 2006 through October
3, 2006, the Division, including the Office
of Weights and Measures and the Office of
Consumer Protection, investigated approximately
104 retail drug stores operated by either
Rite Aid Corporation, a Delaware corporation
established in April 1968, or Rite Aid of
New Jersey, Inc., a New Jersey corporation
established in October 1971. The defendants
currently operate approximately 159 Rite
Aid stores in New Jersey.
The
State’s complaint alleges that the
defendants’ conduct included the following
violations of the CFA:
- the
sale of expired merchandise at approximately
42 retail stores;
-
unconscionable commercial practices, false
promises and/or misrepresentations;
-
failure to post a refund policy or obscuring
the posted refund policy at approximately
31 retail stores;
-
charging consumers prices that exceed
the price posted at the point of display;
- violation
of an October 2001 assurance of voluntary
compliance (AVC) by defendants; and
-
violation of a November 2001 consent order
and a June 2005 consent order by Rite
Aid NJ
The State’s complaint also alleges
that the defendants violated the Weights
and Measures Act due to improper price scanning
by at least 76 store locations.
Deputy Attorney General Geoffrey R. Gersten
is representing the state in this matter.
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