Wisconsin Gas Station Reportedly Facing $160,000 in Lawsuits for Selling Gas Too Cheap

Filling up cars at the gas station is increasingly expensive, leading many drivers to complain about high costs. But some business owners are concerned not about gas prices that are too high but about competitors selling gas for too cheap. In fact, a couple of gas station owners in Wisconsin filed lawsuits alleging that one gas station in their vicinity has been selling gas for cheaper than the law allows. 

Gas prices continue to fluctuate

A green gas pump nozzle at a gas station.
Gas pump nozzle | Getty Images

Gas prices are catching many people’s attention these days as they fluctuate close to record highs. For example, the US Energy Information Association recently reported an average price of $4.32 per gallon, which was up 14 cents a gallon from just a week prior and up to $1.37 per gallon from a year ago. 

These current prices match the record highs the country experienced back in March at the start of the Russian war on Ukraine. While prices have retreated slightly since then, their recent rise indicates that Americans can expect gas prices to continue to fluctuate. 

These price spikes have mainly resulted from issues related to supply and demand. The war in Eastern Europe, combined with supply chain disruptions from the coronavirus (COVID-19), created a vicious cycle related to gas prices that have been hard for consumers to escape. 

Gas station deals with lawsuits over cheap gas

With gas prices out of control, gas station owners are struggling with fears that the high prices could drive customers away. This makes them very sensitive to even minor differences between their prices and those of their competitor stations. 

Those fears recently led a couple of gas station owners in Wisconsin to sue their competition for allegedly selling gas “too cheap.” As WISN reported, a Woodman’s Food Market in Waukesha is facing two lawsuits for $80,000 each. The suits allege that the Woodman’s is selling gas below cost, which is against the law in Wisconsin thanks to the Unfair Sales Act.

The suits were brought by the companies operating two nearby gas stations, a Shell and a BP. Woodman responded that it could legally sell the gas below cost to compete with a Costco located six miles away. 

Given the recent spikes in gas prices, many car buyers are beginning to weigh the possibility of investing in an electric vehicle more carefully. Given the savings, they provide on fuel, along with lower maintenance costs and potential tax benefits, purchasing an EV can be a wise decision in the long run for anyone interested in spending less on transportation. 

Every year more and more car manufacturers are putting EVs out on the road, so the options are increasing for consumers. Lately, some of the most popular electric vehicles have included offerings from Tesla, Ford, and Chevy. 

For example, Tesla’s Model Y and Model 3 have topped lists of the best-selling EVs in the United States. The Model 3 is relatively affordable, which may explain its popularity. 

If affordability is really what you’re after, an even less expensive option is the Chevy Bolt. It has an EPA estimated range of 259. 

A more recent addition to the EV market is the Ford Mustang Mach-E, which surprised some by outselling Tesla after its debut. A standard Mach-E has a range of around 230 miles. 

With gas prices unlikely to return to pre-pandemic levels soon, electric vehicles make for tempting options. Of course, wary gas station owners would probably prefer that we keep that information to ourselves before consumers stray even farther from fossil fuels. 

RELATED: In Tennessee a Gas Station Sold Gas for 41 Cents a Gallon Last Month