Retail Price Scan Accuracy Laws in Canada & U.S.

Scanner Laws Get Consumers Right Price When Wrong Price Charged

Nov 8, 2009
Joseph Leung

Price Scanner Accuracy Law - Alvimann

Consumers should carefully check their receipts before leaving the store. Scanner laws offer rewards to consumers who are charged the wrong price which can save money.

Obviously, checking the cash register display while purchases are being rung up will help correct pricing mistakes on the spot before cash changes hands or credit cards are swiped. In many cases, however, the price databases supporting the cash registers may not even be updated to reflect the sale prices advertised on the floor. In such cases, consumers are not without recourse even after the purchases are made.

Canada Establishes Scanner Price Accuracy Voluntary Code

Consumers in Canada are somewhat protected by the Scanner Price Accuracy Voluntary Code. It is a voluntary code developed collaboratively by the Retail Council of Canada, the Canadian Association of Chain Drug Stores, the Canadian Federation of Independent Grocers and the Canadian Council of Grocery Distributors.

The purpose of the code, endorsed by the Competition Bureau of Canada, is to:

"(v)isibly demonstrate retailer commitment to scanner price accuracy;
(p)rovide retailers with a consistent national framework for dealing with scanner price accuracy issues; and(;)
(p)rovide the retail industry with a mechanism for consumer redress in scanner price accuracy cases, to be managed by a Scanner Price Accuracy Committee."

Canadian Consumer Recourse With Purchases Scanned at Wrong Prices

Participating retailers provide the following benefits to their customers:

If an item without a price tag is scanned at a price different from the shelf price or any other advertised price, the item is free to the customer, up to $10 maximum.
If an item with a price tag is scanned at a price different from the shelf price, the lower price applies.
If more than one identical items are scanned at incorrect prices, the first one is free and the subsequent items are sold at the correct price.

Cashiers and customer service representatives of participating retailers are given the authority to process refunds to customers for incorrectly scanned purchases covered under the Code. However, if an issue cannot be addressed at the store, a customer may file a complaint with the Scanner Price Accuracy Committee at 1-866-499-4599. Although participation to the Code is voluntary, the Code is endorsed by the Competition Bureau.

Canadian Retailers Participating in the Scanner Price Accuracy Voluntary Code

Some of the national retailers subscribing to the Code include:

Best Buy
Canada Safeway Limited
Canadian Tire Corporation Ltd.
Costco Wholesale Canada Ltd.
Future Shop
The Home Depot Canada
Loblaw Companies Limited
London Drugs
Overwaitea Food Group
Rona
Shoppers Drug Mart
Sobeys Inc.
Thrifty Foods
Toys r Us
Wal*Mart Canada Corp.

U.S. Consumer Protection Scanner Law Gets the Right Price & Bonuses

Although the Federal Trade Commission and the U.S. Department of Commerce's National Institute of Standards and Technology conduct price check reports on scanning practices by retailers from time to time and the National Conference for Weight and Measures ("NCWM") sets forth procedures for proper pricing and register scans, not all states participate in the NCWM procedures. Laws are administered by individual states and the level of protection varies.

Michigan is one of the states which facilitates consumer protection and recourse for purchases scanned at wrong prices under its Scanner Law. Under the law,

The store is required to give the customer a bonus (up to $5) equal to 10 times the difference between the correct and incorrectly scanned price.
The customer is allowed up to 30 days from the date of purchase to seek recourse from the merchant.
Non-cooperating merchants may be fined and responsible for portion of the complaining customer's attorney fees.

Price Checks Mean Paying the Right Price When the Wrong Price is Charged

Although price discrepancies do not happen all the time, checking the cash register receipts helps ensure that purchases are made at prices intended to be paid. Otherwise, what is the point of shopping for items on sale?

Joseph Leung - Joseph began freelance writing and working as an independent consultant in early 2009 upon returning to Vancouver, British Columbia after ...