Dollar General Class Action Lawsuit Says Motor Oil is Obsolete

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Dollar General Corp., which runs a chain of discount retail stores, was hit with a proposed class action lawsuit alleging that it deceptively markets its store brand of motor oil. The class action filed on May 9 contends that “DG Auto” brand motor oil is “obsolete” and “unsuitable for use by the vast majority, if any, of its customers.”

The Dollar General motor oil false advertising class action lawsuit states that as auto engines have improved, motor oil standards have also evolved. “Motor oils designed to protect engines from earlier eras do not protect, and can harm, modern-day engines,” according to the class action complaint.

Specifically, Dollar General’s brand motor oil—DG Auto SAE 10W-30, DG Auto SAE 10W-40, and DG Auto SAE 30—are allegedly obsolete and can damage modern automobiles.

Dollar General’s DG Auto 10W-30 and 10W-40 motor oils each have a disclaimer on the back that says “not suitable for use in most gasoline powered automotive engines built after 1988.” The DG SAE 50 motor oil disclaimer is similar, except it says that it is not suitable for engines “built after 1930.”

The Dollar General false advertising class action asserts that those disclaimers do not cure the deceptive and misleading manner in which DG Auto brand motor oil is sold. First, Dollar General places its DG Auto motor oil next to the other brands of motor oil sold in Dollar General stores. Second, the lawsuit states that all of the motor oil brands appear the same, with the same-sized containers and labels on the front, such as “SAE 10W-40.”

The complaint argues that “Dollar General’s placement of the DG Auto motor oils on the same shelves and in similar quantities as the other motor oils suggests that the products are the same, and conceals the fact that the DG Auto motor oils have an extremely obscure and limited use.”

In addition, “Defendants also fail to warn its customers adequately of the obsolete nature of DG Auto motor oils or of the dangers DG Auto motor oils pose to the very automobiles its customers are trying to protect by purchasing DG Auto motor oil,” according to the class action.

The complaint states that DG Auto motor oil does not give any indication of its limitations on the front of its packaging, only stating that it “lubricates and protects your engine.” The complaint also asserts that Dollar General obscures its disclaimer in small font under a larger description of the product that is misleading.

Plaintiffs Jason Wood and Roger Barrows of New York say they purchased DG Auto brand motor oil for several years. Plaintiff Wood also claims that he used that oil in his 2008 Chevy Colorado until the engine seized up in 2014.

Wood and Barrows seek to represent a Class of all persons who purchased DG Auto motor oil since May of 2013 for use in a vehicle manufactured after 1988. The class action requests restitution, punitive damages, and a court order stopping Dollar General from deceptively advertising its DG Auto motor oil.

The plaintiffs are represented by Mitchell M. Breit of Simmons Hanly Conroy.

The Dollar General Motor Oil False Advertising Class Action Lawsuit is Jason Wood, et al. v. Dollar General Corporation, et al., Case No. 3:16-cv-0534, in the U.S. District Court for the Northern District of New York.

UPDATE: On Aug. 29, 2018, consumers in a Dollar General class action lawsuit regarding motor oil recently asked a federal court to certify them as a Class since many of their claims are identical.

UPDATE 2: On March 21, 2019, a federal judge approved Class certification for consumers in 16 states involved in a lawsuit alleging that Dollar General sold motor oil that was useless in modern cars.