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Dollar General, Dollar Tree to pay $1.2M in settlement for selling expired drugs

Discount retailers Dollar General Corp., Dollar Tree Inc. and Family Dollar Inc. will pay a total of $1.2 million in damages for selling expired products, according to an Aug. 26 announcement from the New York State Office of the Attorney General.

The settlements mark an end to a multi-month undercover probe over the companies' sale of expired over-the-counter medicines, Dollar General's sale of out-of-date motor oils, and Dollar Tree and Family Dollar's failure to comply with the state's bottle deposit law.

Dollar General, which stopped the sale of obsolete motor oils during the course of the investigation, has agreed to pay $1.1 million in restitution, damages, penalties and costs to the state.

Meanwhile, Dollar Tree and Family Dollar agreed to pay $100,000 in penalties and costs to the state, and agreed to comply with New York's bottle deposit law and train its employees on redemption procedures.

The settlement also requires the companies' stores in New York to implement a few reforms and procedures, including electronically recording and tracking the expiration dates on the goods delivered to their distribution centers and conducting monthly audits of each retail stock.

Family Dollar is a subsidiary of Virginia-based Dollar Tree but each company maintains separate store operations.