New lawsuit claims Walmart raised prices on tariffed good yet now stands to keep $10.2 billion refund

On April 27, 2026, Ohio shoppers John Glase and Adam and Kristin Falkner filed a class action lawsuit against Walmart Inc. in the U.S. District Court for the Northern District of Ohio.

The lawsuit alleges Walmart could collect billions in government tariff refunds after already passing those costs to consumers through higher prices. The plaintiffs claim Walmart will collect twice on the same tariffs: once by charging shoppers more during 2025 and again by recovering a federal refund after the U.S. Supreme Court struck the tariffs down.

How tariffs hit Walmart shoppers

In February 2025, President Trump signed a series of executive orders citing the International Emergency Economic Powers Act, a 1977 federal law granting the president broad authority over international commerce during national emergencies. The orders included a 25% tariff on goods from Canada and Mexico, duties as high as 145% on imports from China and a baseline 10% tariff on most other imports.

Walmart imports a significant share of its merchandise from countries affected by the tariffs. The complaint claims Walmart then raised retail prices 20% to 30% or more across electronics, food, household items, small appliances, apparel and health and hygiene products. Researchers cited in the filing estimate American consumers absorbed roughly 96% of tariff costs.

The alleged double recovery

The Supreme Court struck down the IEEPA tariffs on Feb. 20, 2026, ruling 6-3 in Learning Resources, Inc. v. Trump that the law does not authorize the president to impose tariffs.

After the ruling, the U.S. Court of International Trade ordered Customs and Border Protection to refund roughly $166 billion in collected IEEPA duties to importers of record, i.e. the companies that paid the tariffs at the border. Federal trade law allows only importers of record to seek those refunds, leaving consumers who paid higher retail prices with no direct path to recovery, according to the lawsuit.

Walmart stands to recover an estimated $10.2 billion of those refunds, the complaint claims. It alleges Walmart will keep that refund on tariff costs it already shifted to consumers.

What the lawsuit seeks

The complaint brings four legal claims against Walmart:

  • Ohio Consumer Sales Practices Act, a state law banning unfair or deceptive acts in consumer transactions
  • Unjust enrichment, a doctrine that applies when a company keeps a benefit at another's expense under unfair circumstances
  • Money had and received, a legal theory allowing a court to require return of money received under unjust circumstances
  • Injunctive relief under Rule 23(b)(2), asking the court to block Walmart from spending refund proceeds before the case resolves

The plaintiffs seek a court order requiring Walmart to hold its tariff refund proceeds in trust and establish a process to repay class members.

What this means for Walmart customers

The proposed class covers everyone who bought IEEPA-tariffed goods from Walmart in stores or online between Feb. 1, 2025, and Feb. 24, 2026. A separate Ohio subclass covers Ohio residents who shopped during the same window.

There is no settlement, no claims process and no money available at this time. The lawsuit remains pending in federal court in Cleveland.