FAQ's About Item Pricing and Scanning Mistakes and Answers on Your Consumer Rights

What is the Michigan Consumer Pricing and Advertising Act (Act 449 of 1976)?

The act regulates the pricing of consumer items and the advertising of consumer items in order to provide a level playing field for all merchandising establishments and to protect the welfare of the consumer.

Who is responsible for the Consumer Pricing and Advertising Act?

The Department of Agriculture’s Consumer Protection Section is responsible for investigating all complaints.

The Attorney General’s office is forwarded all information regarding the complaints and is responsible for any enforcement actions taken.

Under what circumstances am I eligible to receive the "bounty" or any extra compensation for being overcharged on an item or items?

There are three conditions that must be met at retail:

1. The price must be affixed or stamped on the item.
2. The sale must be recorded by an automatic checkout system (scanner).
3. The buyer must be given the receipt which describes the item and states the price charged for the item.

If these conditions are met and a consumer is overcharged, then the consumer is entitled to the difference between the price affixed to the item and the price charged, plus an amount equal to 10 times the difference but which is not less than $1.00 or more than $5.00.

What if I buy 4 identical items and am overcharged on each? Am I entitled to the "bounty" on each one?

No. If a loss is suffered by 1 buyer within 1 transaction on 2 or more identical items, then the amount to be tendered by the seller shall be the difference on each item, plus an amount equal to 10 times the difference on a single item but which is not less than $1.00 and not more than $5.00.

What can I do if the store refuses to pay the "bounty"?

Section 10(2) states, "a person who suffers loss as a result of a violation of this act may bring an individual or class action to recover actual damages or $250.00, whichever is greater, for each day on which violations of this act have been found together with reasonable attorneys’ fees not to exceed $300.00 on an individual action."

What if an item is advertised at a lower price than marked (sale price) and a consumer is charged the non-sale price? Is that consumer entitled to the bounty?

No, not all of the requirements were met. The consumer is entitled to purchase the item at the lowest advertised price however.

Are all items in a store required to be individually item priced or marked?

No, there are some exceptions that allow some items not to be item priced. For example, a store is allowed a list of 25 sale items and 25 non-sale items that don’t have to be item priced. The list must be located in a conspicuous location.

Also, items such as unpackaged food items, items sold by weight or volume, food items intended for immediate consumption, and motor vehicle parts do not need to be item priced.

However, in such cases, the price and the name or description shall be indicated by a clear, readable, and conspicuous sign in immediate conjunction with the area in which the unmarked item is displayed.

Who should I contact with a complaint about scanning accuracy or item pricing?

Complaints should be registered with the Michigan Dept of Agriculture’s Consumer Protection Section at (517) 655-8202 or the Attorney General’s Consumer Protection Division at 877-SOLVE-88 (877-765-8388).

Prepared by the Michigan Department of Agriculture.
Copyright © 2005 State of Michigan