ALBANY, N.Y. (Legal Newsline) -- New York Attorney General Eric Schneiderman on Tuesday announced an agreement with a grocery store chain to change the way it advertises and promotes its coupons in the state of New York.
Price Chopper allegedly used misleading advertising practices when promoting its coupons and failed to disclose coupon restrictions.
Under the terms of the agreement, Price Chopper will change its advertising practices, clearly and conspicuously disclose any face value limits on coupon redemption, and pay the state a $100,000 penalty.
"In the current economy, it is more important than ever that consumers be presented with clear information about the terms and conditions of coupons and other sale offers," Schneiderman said.
"Price Chopper used deceptive business practices to mislead price-conscious consumers and extract hard-earned money from them by hindering their ability to shop competitively and save on groceries. Today's agreement ensures that consumers will be protected from misleading advertising at these stores in the future."
Price Chopper implemented a corporate-wide policy to limit the doubling of coupons up to 99 cents and allegedly failed to disclose the restriction in its advertisements leading consumers to believe that $1.00 coupons could be doubled.
Before the company wide change, the double coupon policy varied from store to store.
The agreement will help New York shoppers on a budget make informed decisions about purchases.
Price Chopper has 79 stores in the state.