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Tennessee reaches settlement with Family Dollar over unsanitary storage practices

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Sunday, January 26, 2025

Tennessee reaches settlement with Family Dollar over unsanitary storage practices

State AG
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Attorney General Jonathan Skrmetti | LinkedIn

The Office of the Tennessee Attorney General has reached a settlement with Family Dollar Stores, a subsidiary of Dollar Tree Inc. This agreement comes after an investigation uncovered that Family Dollar locations in Tennessee were selling products stored in a rodent-infested distribution center located in West Memphis, Arkansas.

Tennessee Attorney General Jonathan Skrmetti emphasized the importance of consumer safety: "When a mom or dad buys groceries for their kids, they should never have to wonder whether some nasty critter got the first bite," he stated. "No matter the family budget, whether at a discount shop or not, every Tennessean deserves confidence in the food they buy. This settlement holds Family Dollar accountable and protects Tennessee families from being sold harmful or mislabeled food."

In 2022, Family Dollar, Inc. initiated a voluntary recall of FDA-regulated products stored at their West Memphis Distribution Center. The following year, in 2024, the company admitted guilt to charges related to adulterating FDA-regulated products under unsanitary conditions. As part of their plea agreement, Family Dollar faced fines and forfeitures amounting to $41.675 million—the largest monetary criminal penalty ever imposed in a food safety case—and committed to implementing a comprehensive corporate compliance program with oversight by the U.S. Department of Justice.

Under the terms of this recent settlement with Tennessee, Family Dollar Stores will pay $1.125 million to the state.

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