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AG Nessel Reaches Agreement with Five Below Resolving Alleged Pricing Violations

  • Michigan AG Dana Nessel secured an agreement with Five Below resolving allegations that the retailer’s scanners overcharged consumers at the register and failed to clearly display item prices. In November 2025, AG Nessel issued a notice of intended action to Five Below following alleged violations of the Michigan Shopping Reform and Modernization Act and the Michigan Consumer Protection Act at nearly 20 stores in Michigan on 30 separate occasions.
  • Between June 5, 2025, and November 5, 2025, the Michigan Department of Agriculture and Rural Development (MDARD) issued numerous Shopping Reform and Modernization Act non-compliance findings at Five Below stores. The MDARD also found and documented items labeled as $5 that allegedly rang up as $6 or $7 at the register.
  • Under the agreement, Five Below must implement and maintain policies and protocols intended to ensure ongoing pricing accuracy and compliance with Michigan law. These measures include dedicating additional staff hours to pricing accuracy, enhancing pricing training, and establishing a procedure for internal pricing audits. The agreement also requires Five Below to undergo quarterly pricing audits for one year by an independent auditor. The company will face enhanced penalties for repeat pricing violations determined through MDARD investigations for the next three years. Five Below will also pay the State of Michigan $179,500. Of that amount, $50,000 of the sum will be provided to MDARD to cover investigation-related costs. The remaining balance will be used to fund the independent audits, with the remainder to be distributed to the Department of the Attorney General.