Alabama price gouging law in effect in 40 counties ahead of Hurricane Isaias

Posted

Baldwin County residents are being warned against price gouging on emergency supplies, home repairs and cleanup services as Hurricane Isaias approaches, with Alabama Attorney General Steve Marshall announcing that the state’s price gouging law is in effect following a declaration of emergency covering Baldwin and 39 other counties.

Gov. Kay Ivey’s declaration took effect at 4 p.m. Wednesday, Oct. 7, triggering the law prohibiting unconscionable pricing on goods and services during a declared state of emergency.

“The Governor’s emergency declaration triggers Alabama’s price gouging law, and my office is watching. From now until October 14, anyone looking to profit off a neighbor’s misfortune should know that they will be held accountable,” Marshall said in the release. “Alabamians should be on the lookout for exorbitant price hikes on emergency-related items, as well as repair and clean-up services, as Hurricane Isaias makes a path through Alabama,” said Attorney General Marshall.

The 40 counties covered by the declaration are Autauga, Baldwin, Barbour, Bibb, Bullock, Butler, Chambers, Chilton, Clarke, Choctaw, Coffee, Conecuh, Coosa, Covington, Crenshaw, Dale, Dallas, Elmore, Escambia, Geneva, Greene, Hale, Henry, Houston, Lee, Lowndes, Macon, Marengo, Mobile, Monroe, Montgomery, Perry, Pickens, Pike, Russell, Sumter, Tallapoosa, Tuscaloosa, Washington and Wilcox.

Under Section 8-31-1 of the Code of Alabama, price gouging is unlawful during a declared state of emergency. The law prohibits unconscionable pricing on items sold or rented, including commodities and rental facilities.

Although the law does not specifically define an unconscionable price, an increase of 25% or more above the average price charged in the same area during the previous 30 days may qualify unless the increase can be attributed to a reasonable cost.

Violations can result in fines of up to $1,000 per violation. Those who willfully and continuously violate the law may also be prohibited from doing business in Alabama.

Marshall urged residents in affected counties to report suspected price gouging to his office for investigation.

“Residents in the affected counties who see price gouging should report it to my office for investigation,” Marshall said. “To file a complaint online, visit www.alabamaag.gov and look for the ‘consumer complaint’ link. Consumers can also call the toll-free Consumer Interest Division at 1-800-392-5658.”