Class lawsuit claims supermarkets misled customers on discounts, shoppers act

As the trusted voice for the over-60s community, we always seek news that could impact your wallet.

Today, we're announcing a significant development that could allow many of our members to reclaim a substantial sum of money.

A major class action lawsuit has been launched against the supermarket giants Woolworths and Coles, stirring up quite the conversation.


The legal action, filed by Gerard Malouf & Partners, stems from the Australian Competition and Consumer Commission (ACCC) investigation into supermarkets' pricing practices.

The heart of the matter lies in the claim that both Woolworths and Coles had engaged in deceptive pricing strategies that may have misled customers into believing they were receiving discounts on their purchases when, in fact, the savings were non-existent.


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Class action against Coles and Woolworths regarding deceptive pricing practices was launched. Credit: Unsplash


The lawsuit alleges that this conduct violated Australian Consumer Law and caused economic harm to consumers who paid inflated prices for products they thought were on special offer.

The potential payout for those affected by this alleged misconduct is not insignificant.

While the exact amount will vary from shopper to shopper, Gerard Malouf & Partners have indicated that compensation could range from $200 to over $1,300.


Meanwhile, Carter Capner Law, also pursuing the supermarkets, suggested that households could claim between $2,000 and $5,000, depending on the extent of the impact of the deceptive pricing.

The class action is a response to the ACCC's Federal Court action against Woolworths and Coles.

The ACCC has accused supermarkets of inflating the prices of specific products by at least 15 per cent while the purchase prices remained steady for extended periods.

These products were then allegedly included in the supermarkets' ongoing discount promotions—'Prices Dropped' for Woolworths and 'Down Down' for Coles—even though the promotional prices were reportedly higher than, or the same as, the previous regular prices.

You may be eligible if you shopped at Coles or Woolworths, in-store or online, between February 2022 and May 2023 and purchased products marked as 'Price Dropped' or 'Down Down'.


To express your interest in joining the class action, visit the links by Gerard Malouf & Partners for Coles and Woolworths or the link provided by Carter Capner Law.

The lawsuit will focus on four main components: deceptive pricing practices, violation of Australian Consumer Law, economic harm to consumers, and misrepresentation of savings.

The ACCC's chair, Gina Cass-Gottlieb, has emphasised that Australian consumers have been led to believe that these promotions indicated a sustained reduction in regular prices, which the ACCC alleges was not the case.

The watchdog has estimated that 'tens of millions of the affected products' were sold, resulting in 'significant revenue' for the supermarkets.

With such high stakes, it's no wonder the law firms have received an 'avalanche of calls from outraged customers.'
Key Takeaways

  • A class action lawsuit has been launched against Coles and Woolworths supermarkets with claims of deceptive pricing practices.
  • Shoppers who purchased specific products marked as discounted during a specified timeframe may be eligible for compensation.
  • The lawsuit alleges violations of Australian Consumer Law by making false or misleading representations about product pricing.
  • The ACCC has accused the supermarkets of inflating prices before applying for discount promotions, misleading consumers about actual savings.
Have you noticed any discrepancies in the pricing of products during your shopping trips to Woolworths or Coles? Do you plan to join the class action? Share your experiences and thoughts in the comments below.
 

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The ones who will really have a financial gain from this action are the solicitors. Why else would they volunteer to take this action? It will cost them a fortune following up every person who wants to claim, proving their claim is legit, checking the prices at the time of purchase etc. etc. etc. then the time they have to spend in court for the hearing & they want to make a profit on any business they do
Not concerned about the type of individuals just concerned about getting on board, maybe we get something maybe we don't, afterall there's not much we can do about those type of peoples' ethics
 
If you have a Flybuys card it should be easy to check what and when items were bought as Coles themselves should have a record of the sale. Similarly, if you use a credit or debit card, the same applies.
 
I have already joined the class action. I can give proof of my shopping because I have had my groceries delivered since covid started. if you need to obtain this paper work I would be willing to send it, it is all on my computer.
regards
Sandra
 
You don't HAVE to do the "🙄" emoji, you CHOOSE to. Me? I have better things to do than read every post or try to belittle others. 🥱
Awwwww Sorry mum but lighten up I wasn’t belittling you you’d certainly know if I was believe you me 😊meow 🐱
 
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I can provide copies of my receipts from Woolworths as I have gone paperless and they are stored on my app. But unfortunately I don't have any from Coles. It would be interesting to see what items needed to be purchased.
 
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I can provide copies of my receipts from Woolworths as I have gone paperless and they are stored on my app. But unfortunately I don't have any from Coles. It would be interesting to see what items needed to be purchased.
You can bet your bum it’s nothing i’ve ever bought 🤣
 
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I would love to join this class action.
These days when I see a on sale ticket on an item I always look underneath for the real original price. It's surprising how many items have not been reduced at all. On a couple of occasions I have found ones where the "sale" price is higher than the original price.
I have noticed a few people on here asking how you would prove that you purchased certain products.
Both stores keep a detailed inventory on your past purchases. Have you not noticed when you log into their online apps, they ask whether you have forgotten to purchase items you had previously purchased?

How do you join this class action. I can't find any links to the Law Firm on the information page at all?
 
were do you find to join up for the coles and woolworths with the court case against the 2 companys as i can not see any where on your page .
 
I believe you have to have receipts and it’s only on certain products 😊
Yes, they obviously aren't going to pay out on someone's say so.
Receipts will be required and who would have these receipts from that time period.
I do believe if you have a loyalty card from Woolworths that will suffice.
 
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I would love to join this class action.
These days when I see a on sale ticket on an item I always look underneath for the real original price. It's surprising how many items have not been reduced at all. On a couple of occasions I have found ones where the "sale" price is higher than the original price.
I have noticed a few people on here asking how you would prove that you purchased certain products.
Both stores keep a detailed inventory on your past purchases. Have you not noticed when you log into their online apps, they ask whether you have forgotten to purchase items you had previously purchased?

How do you join this class action. I can't find any links to the Law Firm on the information page at all?
I couldn't imagine however that they will be willing to hand that information over and incriminate themselves, and they wouldn't be keeping that information still from back in 2022/23, they are only interested in what you are currently purchasing.
 
I first noticed this with pepsi max.

Firstly you need receipts and who keeps receipts.

I shop on line and spend around $350 a week. The invoices are only kept for a few weeks

Malouf and partners said on the news tonight that most people would get around $500.

Imagine if this law suit happens how much Coles and Woolworths will permanently increase items .

I think a better solution would be for Coles and woolworhs to put prices right down and maybe offer their customers a reward eg a one off 50% off a shop .
 
Link for GMP lawsuit for Coles and Woolworths.
I have registered for this for Coles as I do most of my shopping there. They asked whether you have receipts and I said no. They also asked if you have a loyalty card and I said yes. They have accepted me into the class action.
 
Their website says:
To register interest -
gather your evidence and then register with GMP Law.

If you have a Rewards Card they are attempting to discover Time and Date of Purchase, Pricing Information, Discounts
Otherwise
Gather receipts for discounted products as proof of purchase
I have had my rewards card since I moved to Tasmania in 2001for 17 year and still have the same card today now back in Victoria.
I think they will be able to obtain what they need form these companies via court orders.
They certainly can't say that they don't keep their customer purchase details for that length of time, and at the same time expect their customers to keep their receipts for years.
Damn, I don't know about anyone else, but my house would be drowning in paper 🤣🤣
 

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