Did you buy anything from a Dollarama store between 2021 and 2023?
If any of the products you purchased were subject to an Environmental Handling Fee (EHF), you may be able to claim a gift card as part of a proposed settlement with the retail chain.
On February 21, 2024, Dollarama reached agreement on a proposed settlement of $2.5 million in a national class-action lawsuit. The lawsuit targeted Dollarama’s pricing practices for products such as batteries, electronics, light bulbs and toys with batteries.
The suit claimed the company failed to accurately display prices of items that had an EHF. This resulted in customers being charged more than the displayed or legally permitted price. Consumer protection laws say merchants are required to display the full price of a product, because customers need to know the precise amount they need to pay.
The settlement applies to any purchases made at Quebec Dollarama stores between December 11, 2019, and July 4, 2023, along with purchases made at Dollarama stores outside Quebec between May 29, 2021, and July 4, 2023.
Under the proposed settlement, affected customers can claim a gift card worth up to $15.00. However, the actual value per claimant could decrease depending on the total number of claims submitted. Some claims may be worth as little as eight cents, according to a lawyer from LPC Avocats Inc., which handled the class action.
The filing of the lawsuit resulted in Dollarama immediately changing pricing practices across the nation.
The settlement is not a financial hit for Dollarama, but the case may have damaged the company’s reputation, according to Richard Powers, an associate professor at the Rotman School of Management at the University of Toronto.
A hearing has been scheduled for April 9, 2024, to determine if the settlement will receive final approval. In the meantime, eligible customers who want to claim their gift cards must provide their email address by April 5, 2024. You do not need any proof of your purchase to make a claim.
Shoppers Drug Mart and Pharmaprix are also named as defendants in the lawsuit. However, neither one of these companies has reached a settlement.
Dollarama did not admit any liability or wrongdoing in the settlement.