Kroger agrees to $17M class action settlement over prescription drug prices

Kroger class action settlement overview:

• Who: Kroger has agreed to a $17 million class action settlement with consumers.
• Why: The Kroger class action lawsuit alleged the company inflated insured customers’ co-payments by improperly reporting its “usual and customary” prices.
• Where: The Kroger class action settlement was filed in Ohio federal court.

The Kroger Co. has agreed to pay $17 million to resolve claims it inflated co-payments for insured prescription drug purchases.

Plaintiffs Judy Kirkbride and Beeta Lewis filed the Kroger class action lawsuit in 2021, alleging the pharmacy chain improperly reported its usual and customary prices for prescription drugs, causing insured customers to pay more than they should have.

Kirkbride and Lewis claim Kroger should have reported its discounted Rx Savings Club prices instead of its higher retail prices.

The Kroger prescription drug class action lawsuit asserts claims for fraud, unjust enrichment and negligent misrepresentation. Kroger denies the allegations, but the parties have reached a settlement agreement that would resolve the claims in the lawsuit.

Kroger prescription drug settlement would offer pro rata cash payments

Kroger has agreed to pay $17 million to resolve the claims. The settlement would create a non-reversionary cash fund to be distributed to class members who submit a valid claim form.

Each class member will receive a pro rata cash payment based on their estimated or actual out-of-pocket expenditures for prescription drugs at Kroger during the class period for transactions for which they used an insurance benefit.

The Kroger settlement will benefit individuals who paid in whole or in part for one or more prescription drugs from Kroger using their insurance between Dec. 9, 2018, and the date class notice is disseminated.

A federal judge must approve the Kroger class action settlement before class members can receive any payments.

In another Kroger class action lawsuit, consumers accuse the company of falsely advertising its Abound brand of dog food as containing no artificial preservatives.

Were you overcharged for Kroger prescription drugs? Tell us in the comments.

The plaintiffs are represented by Scott D. Simpkins, Joseph I. Marchese and Andrew J. Obergfell of Bursor & Fisher P.A., Joel D. Smith of Smith Krivoshey P.C. and Joshua D. Arisohn of Arisohn LLC.

The Kroger class action lawsuit is Kirkbride, et al. v. The Kroger Co., Case No. 2:21-cv-00022-ALM-EPD, in the U.S. District Court for the Southern District of Ohio.

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