15/05: Scanner Law

The "Scanner Law" is something all consumers should be aware of. My law practice is based in Michigan and therefore, I write about the Michigan Scanner Law. A very frugal friend of mine mentioned to me that he rarely makes a trip to a certain retail and grocery supercenter without the scanner incorrectly scanning one of his items. Michigan Compiled Law (MCL) 445.360a popularly called the Scanner Law or Item Pricing Act, applies to items on which the price is stamped or otherwise affixed, which are taken through an automatic checkout system, and for which a receipt is given. If the item does not scan correctly, the consumer gets the difference between the price stamped and the price charged, multiplied by 10. The minimum is $1.00 and the maximum is $5.00. Once you tell the store


that you are entitled to Scanner Law damages, they have 2 days to give you these statutory damages. If they do, you can't take them to court, unless you can prove they intentionally charge more. If they don't give you your statutory damages, you can and recover actual damages or $250.00 whichever is greater, and up to $300.00 in attorney fees. Therefore, if you retain an attorney, he/she should be agreeable to only charging $300.00.

You should not feel awkward in any way about invoking your Scanner Law rights. Stores are well aware of this law and should respect that you don't want to pay more than you agreed to and you rely on them to mark/price their goods in a way that will not cheat their customers. Furthermore, it is an inconvenience to you to have to scrutinize your receipt and go back to deal with an incorrectly marked item. If a store repeatedly has mis-scanned items, this begs the question of intent. If they are rude to you, buck up, play tit-for-tat and be rude right back.

If you are not in Michigan, search your legislative website with keywords: pricing advertising consumer items, (or something to that effect). Or, write to me and I'll see what I can find for you.

Comments

Customers love to try and take advantage of that law. When they know the item has been mis-marked, and the clerk does not see it in advance, the customer will wait until they are rung out rather than just saying something out-right and getting it fixed. In my opinion, that is cheating. It is not right and not what the law intended. It is rare that consideration is given to the store managers and clerks who get into trouble, just because someone wants more money.
18/09 22:00:06
How is it "taking advantage" when it's the store who is responsible for charging the correct price? What about someone who doesn't notice the overcharge and doesn't know about the scan law? I think they are one being taken advantage of.
The customer shouldn't have to make sure everything rings up correctly at the checkout, I believe that is the stores responsibility. If jobs were done correctly, items would ring up at the price marked, period.
19/12 09:57:02
Does it matter if it's on alcohol? A friend of mine went into a grocery store and she paid 100.00 for a bottle of wine and when she went up to the customer service desk they gave her back the difference. But the bottle of wine was only 1.99. But she told the girl at the register and the girl kept telling her it was right. Then the person at customer service told her it was right, but when they checked, it was only 1.99 for the bottle.
20/12 06:06:50
The law applies to a sale at retail which meets all of the following conditions: There is a price stamped on or affixed to the item; the sale is recorded by an automatic checkout system; and the buyer is given a receipt which describes the item and states the price charged for the item.

A buyer may bring an action but first must within 30 days after purchasing an item, notify the seller in person or in writing that the price charged is more than the price stamped or affixed. The notice shall include evidence of the loss suffered by the buyer. If, within 2 days after the notification, the seller tenders to the buyer an amount equal to the difference between the price stamped or affixed and the price charged, plus an amount equal to 10 times that difference but which is not less than $1.00 or more than $5.00, the buyer is barred from any further recovery for that loss. If the loss is suffered by 1 buyer within 1 transaction on 2 or more identical items, 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. If the seller does not tender this amount, the buyer may bring or join in an action.

A person who suffers loss as a result of a violation of this act may bring an individual or a 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 in an individual action.
20/12 17:14:47
D. Red* inquired:

"My mother and father recently purchased a new water filter system from our local Home Depot store. My father saw on the shelf this was selling for $32.99. They went through the self-checkout lane and it range up for $34.99, which is what the price on the box said it was, and what they paid, plus taxes. While my father went back to double check the price on the shelf, and my mother waited at the registers, and a store employee came up to see if she needed help. Just then my father came back up and said yes, the shelf does say $32.99 he then told the employee he could walk her back there and show her this price, she said no, that's ok, we will go up to the service desk and get you a refund. Once at the service desk and with refund in hand, my mother asked if this fell under the scanning law. The employee stated that No, It does not, because for them to receive the scan law amount, they would of had to of left the store with the product and then return to the store with the product and receipt in hand. Since it was caught before they left the store, even though they had paid the higher amount, they are NOT entitled to the Scan Law. Who is correct in this situation? Thank you for any help."

My response:

They are not following the law. The law does not require that one exits the store, only that the purchase have been made. No person has to leave a store before they can assert their right to any property they purchase at the store. The property is yours once you pay for it - the contract has been formed and completed at that point - and the rights under the scanner law are vested in the purchaser.

Tell them that if they do not pay, you will be forced to file a consumer complaint as well as consult an attorney who will obtain attorney fees from the store for the trouble. Ask them to write down their legal names and employee numbers as well as the address to which your attorney should send correspondence.
24/01 18:00:49
What about an advertisement in the paper? We had an incident recently where the shelf price was $0.30 above the ad price. One further complication was that the ad specified 2 for the price of one. When we left we saw that we had been scanned at the shelf price. We immediately returned and inquired about the scan law. We were told that a store circular with an ad price does not qualify as a scan law item, and so we were only given the difference between the prices ($0.30). Need an opinion.
21/04 15:19:27
In order for the law to apply three elements must be met:

(1) There is a price stamped on or affixed to the item.

(2) The sale is recorded by an automatic checkout system.

(3) The buyer is given a receipt which describes the item and states the price charged for the item.

The price must be affixed to the item and the scanner must scan it wrong.
21/04 17:04:29
I noticed that two identical items I purchased rang up wrong. The items were being sold for 18.98 and had a 3.98 sticker on it. There were many on the shelf marked that way. I took the item and my receipt to customer service. I purchased two, but they would only price adjust one. They said I would have to pay full price for the other (they were both marked the $3.98). They said the price difference wasn't within reason, so I could only get one for the marked price. Is there a within reason law? Or a set limit you can get for the scanning and marked difference?

Please E-mail answer
27/05 15:02:46
Dear Fed-Up:

I do not find such an exception within the law. The law is as follows:

MCL 445.360a Section applicable to sale at retail; conditions; conditions to bringing or joining in action; exception.

(1) Except as provided in subsection (3), this section applies to a sale at retail which meets all of the following conditions:

(a) There is a price stamped on or affixed to the item.

(b) The sale is recorded by an automatic checkout system.

(c) The buyer is given a receipt which describes the item and states the price charged for the item.

(2) Before bringing or joining in an action as provided in section 10(2), within 30 days after purchasing an item, a buyer who suffers loss because the price charged for the item is more than the price stamped on or affixed to the item shall notify the seller in person or in writing that the price charged is more than the price stamped or affixed. The notice shall include evidence of the loss suffered by the buyer. If, within 2 days after the notification, the seller tenders to the buyer an amount equal to the difference between the price stamped or affixed and the price charged, plus an amount equal to 10 times that difference but which is not less than $1.00 or more than $5.00, the buyer is barred from any further recovery for that loss. If the loss is suffered by 1 buyer within 1 transaction on 2 or more identical items, 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. If the seller does not tender this amount, the buyer may bring or join in an action as provided in section 10(2).

(3) This section does not apply to a sale at retail in which the seller intentionally charges more for an item than the price stamped on or affixed to the item.

YOUR RECOURSE NOW IS FOUND UNDER:

MCL 445.360 Declaratory judgment; injunction; damages; attorneys' fees.

(1) Whether or not a person seeks damages or has an adequate remedy at law, a person may bring an action to do either or both of the following if the attorney general or prosecuting attorney fails to initiate action within 60 days after receiving notice of an alleged violation of this act:

(a) Obtain a declaratory judgment that a practice is in violation of this act.

(b) Enjoin by temporary or permanent injunction a person who is engaging or is about to engage in a practice in violation of this act.

(2) Except as provided in section 10a, a person who suffers loss as a result of a violation of this act may bring an individual or a 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 in an individual action.

YOU CAN ACHIEVE $250 FOR EACH DAY OF VIOLATION AND ATTORNEY FEES.
28/05 21:52:39
Does the Scanner Law apply at the gift shop/store of the Cracker Barrel Restaurant? The management at the restaurant/gift shop told me it did not apply to them.
16/06 21:51:17
Yes, Terry, it does. I am posting the law itself as a blog item for consumers. The law can be found under the same legal subject matter, "consumer law".
17/06 21:35:32
Today I was at Meijer in Grandville MI. I was buying Mac and cheese and found a 5 pack marked .73. After looking all of the boxes were marked this price and the tag under the item also said .73. When I went through the check out they rang up over $5. I had 3 five packs and told the clerk of the price on the box and at the tag under the item, she called the manager and he sent some one to pull the items and told me that they were only required to sell the item for their cost. I did not purchace the item, when I got home I saw that the also never took off the 4.99. do I have any right to make them sell me this item for the cost marked?
03/08 12:49:39
Yes. From the facts, it appears there has been a violation of the scanner law and you should receive the merchandise for the price marked on the item along with the statutory damages.
03/08 16:15:58
What about restaurants? Does the scanner law apply if the price on the menu board is different from the register programming?
11/08 21:47:43
Dear Helen:

The scanner law does not apply to restaurants in that scenario.
12/08 12:14:22

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