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NEWARK
– Duane Reade International Inc. (‘Duane
Reade”) has agreed to pay a $175,000
civil penalty, plus reimburse the state
$25,000 in investigative costs and attorneys’
fees, as part of the settlement resolving
a lawsuit filed last December regarding
the sale of expired and/or mispriced non-prescription
drugs, infant formula, baby food and other
products at the company’s New Jersey
drug stores.
As
part of the settlement, Duane Reade has
agreed to not sell expired non-prescription
drugs, infant formula, baby food and cosmetics,
to check the expiration dates prior to displaying
for sale and to arrange for the discard
of any such expired merchandise. Duane Reade
also has agreed to provide instruction and
training to its store employees as to the
identification and handling of expired merchandise.
In addition, Duane Read has agreed not to
sell merchandise at a price that exceeds
the price at the point of display
If
the company fails to meet the terms of the
settlement over the next 12 months, it faces
an additional $100,000 civil penalty. In
entering into the settlement, Duane Reade
made no admission of liability or wrongdoing.
“Manufacturers
put expiration dates on their products for
a reason and this agreement puts the onus
on Duane Reade to ensure that no out-of-date
products are available to consumers,”
Attorney General Anne Milgram said. “We
will be monitoring the company to ensure
Duane Reade abides by this agreement.”
Under
the settlement, Duane Reade has agreed to
comply with the state’s laws and regulations
governing its business practices, including
the Consumer Fraud Act, the Weights and
Measures Act and the Refund Policy Disclosure
Act.
“We
appreciate the steps that Duane Reade has
taken to ensure that its stores are in full
compliance with New Jersey laws,”
said Larry DeMarzo, Acting Consumer Affairs
Director. “Consumers have every right
to expect that products purchased in New
Jersey are safe, fresh and accurately priced
and this agreement serves that purpose.”
The
state’s lawsuit also alleged that
Duane Reade violated a prior settlement
entered in August 2006. Under that settlement,
Duane Reade paid $50,000 and agreed to comply
with the state’s Consumer Fraud Act
following allegations that it sold expired
non-prescription drugs, infant formula and
baby food.
Deputy
Attorney General Jeffrey Koziar represented
the state in this action.
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