Midwestern shoppers often spotted large “11% OFF EVERYTHING” signs at Menards stores and based home improvement plans on those promised savings. A settlement filed on December 17, 2025, shows the retailer misled customers by advertising immediate discounts that required mail-in rebates instead. The $4.25 million deal, reached with attorneys general from 10 states, requires Menards to overhaul its discount promotions.​
Deceptive Ads and Rebate Reality
Menards promoted an 11% Rebate Program with bold signs suggesting shoppers would pay 11% less right at checkout. In reality, customers paid full price and had to submit paperwork for store credit valid only on future purchases. Minnesota Attorney General Keith Ellison noted that ordinary shoppers expected lower receipt totals, not delayed credits.​
The Wisconsin-based chain, with 341 stores in 15 states, ran this promotion repeatedly, affecting millions of transactions over years. Regulators criticized how Menards used “Rebates International” in forms, failing to disclose it was the company itself. This created a false sense of independent handling.​
States argued the ads created a misleading overall impression, crossing into deception despite fine print. Families planning projects like kitchen remodels or deck builds felt cheated when savings did not appear at the register.​
Multistate Action and COVID Claims
Attorneys general from Minnesota, Illinois, Iowa, Wisconsin, Arizona, Kansas, Michigan, Nebraska, Ohio, and South Dakota united in this bipartisan effort. Democratic and Republican leaders agreed the marketing violated honest advertising rules. The coalition’s rare unity highlights the case’s gravity.​
The settlement also tackles alleged price hikes on essentials during the early COVID-19 pandemic in 2020. Menards reportedly raised prices on rubbing alcohol, garbage bags, dish soap, and neoprene gloves when demand surged. States bundled these crisis-era claims with the rebate issues for broader accountability.​
Minnesota receives about $632,000, Illinois nearly $947,000, and Nebraska over $231,000, with other states getting six-figure shares. For a large retailer like Menards, the penalties matter, but the mandated changes carry more weight.​
Key Reforms for Shoppers
Menards must now clearly label rebate promotions as such, stating upfront if savings skip the receipt. Ads cannot imply point-of-sale discounts for store credit programs. The company also pledges to reveal its control over Rebates International.​
Practical fixes include a one-year window to submit rebate claims and online tracker updates within 48 hours of changes. Menards will explore secure online submission and redemption options. The deal bans price gouging during economic disruptions.​
Rebates remain legal, but regulators stress they must not mimic instant discounts. Many customers skip paperwork or miss deadlines, erasing promised savings. This settlement pushes clearer terms to match shopper expectations.​
Broader Impact on Retail
Menards did not admit fault, a standard in such deals, but agreed to reforms to end the probe. Officials call it a pioneering multistate action against rebate-as-discount ads in home improvement. Other chains using similar tactics now face scrutiny.​
The focus stays on ad impressions, not just disclaimers. Bipartisan enforcement sets a precedent: retailers answer for how everyday people read promotions. Shoppers gain protections like transparent tracking, reducing fine-print traps.​ For Midwestern families, the ruling means future “percent off” signs should deliver as advertised. It closes the gap between bold promises and checkout reality, fostering trust in big-box deals.
Sources
Minnesota Attorney General Keith Ellison, December 17, 2025, settlement announcement regarding Menards settlement in Ramsey County District Court.
Wisconsin Department of Justice and DATCP. “AG Kaul, DATCP Secure Settlement with Menards.” December 17, 2025.
Michigan Attorney General’s Office. “AG Nessel Secures Settlements with Menards.” December 17, 2025.
Nebraska Attorney General Mike Hilgers. “Settlement with Menards.” December 16, 2025.
South Dakota Attorney General Marty Jackley. “Settlement with Menards Over Rebate Advertising.” December 17, 2025.
Illinois Attorney General’s Office. “Illinois Recovers $946,633.61 in Menards Settlement.” December 17, 2025.