New York -- A San Diego judge ordered Rite Aid Corp. and its California subsidiary Thrifty PayLess Inc. to pay $800,000 to settle a complaint alleging false advertising, the Associated Press reported.
Prosecutors claimed Rite Aid led consumers to believe they would pay less for items bought using the company's Wellness Card, the report said. However, they were given a coupon and told it was for a future purchase that would expire and was subject to other restrictions.
According to the prosecutors, the stores also refused to redeem gift cards with a balance of less than $10 for cash, as required by California law.
Rite Aid said in a statement it will remedy the situation.