Judiciary Committee, Energy and Commerce Committee
Introduced
In Committee
On Floor
Passed Chamber
Enacted
This bill aims to prevent unfair pricing practices by retail food stores, specifically prohibiting both price gouging and surveillance-based price setting. Under the proposed legislation, stores are forbidden from selling items at a grossly excessive price , though an affirmative defense exists if price increases are due to uncontrollable, additional costs incurred by the store. The Federal Trade Commission (FTC) is tasked with defining what constitutes a market and a grossly excessive price, potentially considering prices 120 percent or more above the average market price over a six-month period. The Act also bans surveillance-based price setting , which involves adjusting prices based on a consumer's personal information, including data collected via facial recognition technology or through electronic shelf labels. Exceptions are made for price differences based on reasonable costs, publicly disclosed group discounts, and uniform discounts where personal information is used solely for administration. While generally restricting biometric data use, stores may collect it for voluntary identity verification if they provide clear written disclosures, obtain consent, and do not sell or share the data with third parties. Furthermore, the bill mandates that retail food stores using facial recognition technology must clearly notify consumers through conspicuous signage at their main entrance. For larger retail food stores exceeding 10,000 square feet, the use of electronic shelf labels or any digital shelf display technology is prohibited, requiring instead a non-digital presentation of item prices. This prohibition, however, does not prevent stores from offering personalized discounted or promotional prices based on a consumer's purchase history, provided it aligns with the established exceptions. Enforcement of these provisions falls under the purview of the Federal Trade Commission, treating violations as unfair or deceptive acts or practices. State attorneys general are also empowered to bring civil actions to enjoin violations, enforce compliance, and seek damages or restitution. Crucially, the bill establishes a private right of action , allowing injured consumers to sue for injunctions, actual damages or a minimum of $3,000 per violation, and potentially treble damages for willful offenses, while invalidating pre-dispute arbitration agreements and joint action waivers.
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Timeline
Introduced in House
Referred to the Committee on Energy and Commerce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Energy and Commerce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
This bill aims to prevent unfair pricing practices by retail food stores, specifically prohibiting both price gouging and surveillance-based price setting. Under the proposed legislation, stores are forbidden from selling items at a grossly excessive price , though an affirmative defense exists if price increases are due to uncontrollable, additional costs incurred by the store. The Federal Trade Commission (FTC) is tasked with defining what constitutes a market and a grossly excessive price, potentially considering prices 120 percent or more above the average market price over a six-month period. The Act also bans surveillance-based price setting , which involves adjusting prices based on a consumer's personal information, including data collected via facial recognition technology or through electronic shelf labels. Exceptions are made for price differences based on reasonable costs, publicly disclosed group discounts, and uniform discounts where personal information is used solely for administration. While generally restricting biometric data use, stores may collect it for voluntary identity verification if they provide clear written disclosures, obtain consent, and do not sell or share the data with third parties. Furthermore, the bill mandates that retail food stores using facial recognition technology must clearly notify consumers through conspicuous signage at their main entrance. For larger retail food stores exceeding 10,000 square feet, the use of electronic shelf labels or any digital shelf display technology is prohibited, requiring instead a non-digital presentation of item prices. This prohibition, however, does not prevent stores from offering personalized discounted or promotional prices based on a consumer's purchase history, provided it aligns with the established exceptions. Enforcement of these provisions falls under the purview of the Federal Trade Commission, treating violations as unfair or deceptive acts or practices. State attorneys general are also empowered to bring civil actions to enjoin violations, enforce compliance, and seek damages or restitution. Crucially, the bill establishes a private right of action , allowing injured consumers to sue for injunctions, actual damages or a minimum of $3,000 per violation, and potentially treble damages for willful offenses, while invalidating pre-dispute arbitration agreements and joint action waivers.
Get AI-generated questions to help you understand this bill better
Timeline
Introduced in House
Referred to the Committee on Energy and Commerce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Energy and Commerce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.