Shell Oil Accused of Charging Debit Card Fees at Gas Stations Using Deceptive Practices

Posted on behalf of Arnold Law Firm in
NOTICE: If you are a resident of California and made a gasoline purchase from Shell Oil using your debit card within the past five years, contact the Arnold Law Firm at (916) 777-7777
gas station pumpsAs gasoline prices increase, consumers look for ways to reduce costs, including seeking out gas stations that offer a discounted price for not paying with credit. A 2019 study by GasBuddy.com found that consumers often choose to pay for fuel with a debit card instead of a credit card to receive a discount on gasoline. Unfortunately, one of California’s leading fuel retailers is allegedly offering deceptive pricing that entices buyers to pay higher prices unknowingly. Shell Oil Company sells fuel based on a two-tiered, “split” pricing method: one price for payments involving credit and a discounted price for cash. While debit cards are an electronic payment form, they deduct funds directly from a bank account and do not involve credit. Most debit card users, therefore, believe that cash discounts to avoid paying with credit will apply to their purchase. In the case of Shell Oil, the company quietly considers debit cards to be the same as credit cards, charging unsuspecting customers the higher credit price. Consumers typically make their Shell Oil purchase decisions at the pump, where the discounted price is clearly visible. The lower cash price encourages the customer to pay at the pump with a debit card, thinking that they are getting the discount along with the convenience of not having to go into the store to pay with paper cash. Unless they request a printed receipt and carefully check it, the customer is not aware that they were charged the higher rate. If they do happen to notice the price discrepancy, it is after the sale is complete on a product that cannot be returned. The consumer then has virtually no recourse to remedy the overcharge. Reportedly, Shell Oil has long been aware that their split pricing misleads consumers. They have been motivated to continue these deceptive practices for the increased revenues they produce. Shell Oil has nearly 14,000 locations across the United States, with 1,150 gas stations in California alone. It is the largest branded U.S. gasoline provider in a number of stations and total gallons sold.

NOTICE: If you are a resident of California and made a gasoline purchase from Shell Oil using your debit card within the past five years, contact the Arnold Law Firm at (916) 777-7777 to discuss your situation and possible developing legal options.

Settlement - $3,767,000

Truck Accident

A 20-year-old man who had been married for just 12 days left home on his way to work. He was driving on Pleasant Grove Road in Sutter County in the early morning when he came upon a slow-moving truck. As he pulled out to pass the truck, the truck driver turned left in front of him. The young man attempted to steer back into his lane but his vehicle struck an un-flagged piece of metal extending from the back of the truck. He died in the resulting crash.

Expert witnesses brought in by the Arnold Law Firm proved that the truck, owned and operated by a hauling firm, should never have been on the highway that morning. Specifically, the rear and side turn signals did not work and the rear-view mirror was in a poor state of adjustment at the time of the collision. As a result, the driver, who had failed to properly inspect the vehicle before setting out that morning, couldn’t see the young man’s vehicle as it attempted to pass.

The poor condition of the truck, its lack of maintenance and the manner in which it was operated were found to be substantial factors in causing the collision that killed the young man. The testimony also established that the man had been making a lawful pass at the lawful speed limit and acted reasonably when he attempted to avoid the collision.

The man’s 20-year-old widow was awarded $3,767,000.77, his parents were awarded $185,131 and the family was reimbursed $11,899 in funeral expenses. Though money is a poor substitute for a young man’s life, this verdict demonstrates that drivers who endanger the lives of others will be held accountable for their actions.