Super-Pharm and Osher Ad Customers to Receive Up to NIS 13 Million in Compensation
Customers of Israeli retail chains Super-Pharm and Osher Ad are set to receive up to 13 million shekels (approximately $3.5 million USD) in compensation following a class-action lawsuit. The suit alleged that the company Din Marketing and Roasting, which operated bulk product stands in the stores, improperly weighed products. Consumers claimed they were sometimes charged for the weight of the plastic containers holding items like nuts, spices, and sweets, instead of having the container's weight fully deducted.
The legal process, which lasted nearly two years, involved an expert assessment of the overcharges. Initially, in April 2024, an expert appointed by the court estimated the damages at around 8 million shekels. However, the plaintiffs contested this figure, arguing it did not reflect the full extent of the overcharging, considering the volume of sales and the fact that the issue persisted until 2024.
A revised settlement agreement has now been approved, increasing the total compensation to 13 million shekels. This amount will be distributed as follows: 5 million shekels in benefits for customers purchasing weighted products at Super-Pharm and Osher Ad over the next 48 months; 5 million shekels in product donations to charities; and 3 million shekels to a fund for class-action lawsuits.
The settlement also mandates measures to prevent the cost from being passed back to consumers. Prices for the relevant products will be frozen without special court approval. Din Marketing has committed to rectifying the weighing system by ensuring accurate, automatic deduction of container weights on electronic scales, removing unused packaging from the system, and updating operational procedures and branch controls. The settlement applies to customers who purchased these products before the issue was effectively resolved in March 2024. The lead plaintiffs were represented by attorneys Nitzan Rubinstein and Daniel Briner, with Avishai Feldman acting as their counsel. Din Marketing was represented by attorneys Ronit Siton and Lior Shlomo.
