Walgreens to Pay $6 Million in California Lawsuit Settlement

Pharmacy chain accused of overcharging customers and selling expired products

Mar. 26, 2026 at 10:21pm

Walgreens has agreed to pay $6 million to settle a lawsuit by multiple California counties over alleged price-scanner and expired-product violations. The lawsuit accused the company of charging customers more than the posted or advertised price and selling baby food and over-the-counter drugs after their expiration dates. As part of the settlement, Walgreens will create new consumer protection policies, including audits of all stores in California and a price guarantee program.

Why it matters

This settlement highlights ongoing issues with pricing accuracy and product freshness at major retail chains, which can have significant impacts on consumer trust and public safety. The case also demonstrates the role of local prosecutors in enforcing consumer protection laws and holding large corporations accountable.

The details

The lawsuit was led by the San Mateo County District Attorney's Office and joined by DAs from several other California counties. It alleged that Walgreens, the second-largest pharmacy chain in the U.S., violated state law by overcharging customers and selling expired products. This was the latest in a series of civil actions against Walgreens for similar violations, including a $2.25 million judgment in 2018. As part of the new settlement, Walgreens will pay $5.4 million in civil penalties and $600,000 in investigative costs, and implement new consumer protection policies such as store audits and a price guarantee program.

  • The lawsuit was first filed in 2018.
  • The $2.25 million judgment against Walgreens for similar violations was reached in 2018.
  • The new $6 million settlement was announced on March 26, 2026.

The players

Walgreens

A major pharmacy chain with around 580 stores in California.

San Mateo County District Attorney's Office

The lead prosecutor in the lawsuit against Walgreens.

Other California District Attorneys' Offices

Several other county prosecutors joined the lawsuit against Walgreens.

Stephen Wagstaffe

The San Mateo County District Attorney who announced the settlement.

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What they’re saying

“California law provides protections for consumers to ensure that the price they pay at the register is not greater than the advertised price, and to protect from being sold expired products containing drug facts.”

— Stephen Wagstaffe, San Mateo County District Attorney

What’s next

The new consumer protection policies and price guarantee program required by the settlement will be implemented across all Walgreens stores in California.

The takeaway

This case highlights the importance of enforcing consumer protection laws and holding major retailers accountable for pricing accuracy and product freshness. The settlement demonstrates how local prosecutors can work together to take on large corporations and secure meaningful reforms to protect consumers.