The lawsuit was filed in Contra Costa County Superior Court by district attorneys' offices of Sonoma, Marin, Contra Costa, Fresno and Santa Cruz counties.
The complaint alleged Target overcharged customers, saying scanner inspectors at Target stores noted numerous occasions when the price charged at the register was not the lowest posted price, Passalacqua said.
Target cooperated with the investigation and has since instituted new policies and procedures to improve pricing accuracy, Passalacqua said.
"Consumers should not have to worry about being charged the correct price when items are scanned at store registers," Passalacqua said. "We believe the settlement in this case sends a message that will help ensure that consumer expectations are met."
Target agreed, without admitting wrongdoing, to pay $1,745,522 in costs, civil penalties and restitution, Passalacqua said.
The judgment requires that Target implement additional audit and price accuracy procedures in its California stores for four years to ensure compliance with pricing requirements, Passalacqua said.