Schnucks settles class-action suit

St. Louis-based Schnuck Markets, which has an outlet at 19 S. Kingshighway in Cape Girardeau, has agreed to pay an estimated $5.3 million to settle a 2021 alleged false advertising class-action lawsuit involving alcohol prices in its Missouri stores, according to www.winsightgrocerybusiness.com, an online industry newsletter.

The proposed tentative settlement includes $4 million to compensate those customers who submit a claim by Friday, Sept. 8, and $1.32 million for the plaintiff's attorney.

Plaintiff Leonard Perry will receive $5,000.

Schnucks emailed customers July 10 to notify them of the settlement.

The family-owned grocer sought a preliminary and permanent writ prohibiting further action on the case Nov. 2, 2021, but the petition was denied by the U.S. Eastern District Court of Appeals.

The grocer also appealed to the Missouri Supreme Court, but that request was also denied.

The lawsuit alleged Schnucks misled its customers by publishing misleading price comparisons for alcohol products sold at its stores between Dec. 3, 2015, and Feb. 15 of this year.

Company response

Schnucks has admitted to no wrongdoing in settling the case.

"Schnucks strongly denies the allegations in this lawsuit. However, after over two and a half years of contested litigation, Schnucks believes it is in its and its customers', including its Rewards members', best interest to bring the litigation to a close and in a way that benefits those who purchased Schnucks' wine and alcohol products over the years in Missouri," said company spokesman Paul Simon, in an email to the Southeast Missourian.

Claimants

Missouri residents who wish to join the settlement class have been divided into three groups, based on amount of alcohol purchased.

• Purchasers of between one and 24 units of alcohol of any kind at a Missouri Schnucks during the settlement period may join the class without proof of purchase and will receive $11.
• Buyers of 25 to 60 units must provide proof of purchase and are eligible for $25.
• Buyers who purchased more than 60 units and have kept receipts will receive $72.

Physical receipts may be mailed to Perry v. Schnuck Markets Inc., Claims Administrator, P.O. Box 5627, Portland, OR 97228-5627.

Online receipts may be obtained online or via the Schnucks Rewards app.

What's next

A hearing on the settlement will take place at 10 a.m. Tuesday, Oct. 10, at St. Louis Circuit Court before the court decides whether to approve the settlement, according to St. Louis Post-Dispatch reporting.

Schnucks, which opened its Cape Girardeau store in 1976, has 114 groceries in four states: Missouri, Illinois, Indiana and Wisconsin.

Founded in 1939, Schnuck Markets is reported to be one of the largest privately-held supermarket chains in the U.S.