§ 51.0204 Unlawful Pricing Practices
(a) Upon the proclamation of a state of emergency, local emergency, or state of war emergency, and for a period of 30 days following that declaration, it is unlawful for a person, contractor, business, or other entity to sell or offer to sell any consumer food items or goods, goods or services used for emergency cleanup, emergency supplies, medical supplies, home heating oil, building materials, housing, transportation, freight, and storage services, or gasoline or other motor fuels for a price of more than 10 percent above the price charged by that person for those goods or services immediately prior to the proclamation.
However, a greater price increase is not unlawful if that person can prove that the increase in price was directly attributable to additional costs imposed upon it by the supplier of the goods, or directly attributable to additional costs for labor or materials used to provide the services, provided that in those situations where the increase in price is attributable to additional costs imposed by the sellers’ supplier or additional costs of providing the good or service during the state of emergency, local emergency, or state of war emergency, the price represents no more than 10 percent above the total of the cost to the seller plus the markup customarily applied by the seller for that good or service in the usual course of business immediately prior to the onset of the state of emergency, local emergency, or state of war emergency. A business offering an item for sale at a reduced price immediately prior to the proclamation of the state of emergency, local emergency, or state of war emergency may use the price at which it usually sells the item to calculate the price pursuant to this section.
(b) The provisions of this section may be extended for additional 30-day period by the local legislative body if deemed necessary to protect the lives, property, or welfare of the citizens.
(c) A violation of this section is a misdemeanor punishable by imprisonment in a county jail for a period not exceeding six months, or by a fine of not more than one thousand dollars ($1,000), or by both that fine and imprisonment.
(d) A violation of this section shall constitute an unlawful business practice and an act of unfair competition within the meaning of section 17200 of the California Business and Professions Code. The remedies and penalties provided in this section are cumulative to each other, the remedies under section 17200 of the California Business and Professions Code, and the remedies or penalties available under all other laws of this State.
(Added 9/19/2005 by O-19411 N.S.)
(Amended 5-23-2016 by O-20645 N.S.; effective 6-22-2016.)