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 customers were overcharged for bulk products, such as pickles, nuts, legumes, spices, and sweets, sold in plastic containers. The core of the claim was that the weight of the containers themselves was not fully deducted, leading consumers to pay for the packaging in addition to the product.

The lawsuit was filed against Din Marketing and Roasting, the company that operated the bulk product stands in Super-Pharm and Osher Ad stores. The legal proceedings spanned nearly two years, during which a court-appointed expert evaluated the extent of the overcharging. In April 2024, this expert estimated the damages at approximately 8 million shekels.

However, the plaintiffs contested this figure, arguing it did not reflect the full extent of the overcharges, considering the volume of sales and the fact that the issue persisted until 2024. Following further legal deliberation, a revised settlement was approved, increasing the total compensation to 13 million shekels.

This compensation will be distributed in several ways over four years: 5 million shekels will be provided as discounts on weighted products for customers at Super-Pharm and Osher Ad; another 5 million shekels will be donated as products to charities; and 3 million shekels will go to a fund for class-action lawsuits.

The settlement also mandates changes to prevent future overcharges. Din Marketing has committed to accurately and automatically deducting container weights on electronic scales, removing unused packaging from the system, and updating operational procedures. The prices of the relevant products will be frozen without special court approval. The settlement applies to customers who purchased these products before the issue was rectified in March 2024. The representative plaintiffs were Nitzan Rubinstein and Daniel Briner, represented by attorney Avishai Feldman. Din Marketing was represented by attorneys Ronit Siton and Lior Shlomo.