Here’s what to do if you see price gouging in Sacramento area amid coronavirus crisis
In the weeks since the coronavirus crisis has begun heavily impacting California, stories have poured in about stores jacking up prices on hand sanitizer, toilet paper and other important supplies.
In Sacramento County, the District Attorney’s Office sent an investigator to a Citrus Heights gas station two weeks ago to issue a warning after a consumer reported the station’s market was selling a six-pack of toilet paper for $20.
As most are aware, this is illegal during a state of emergency.
California Attorney General Xavier Becerra’s office issued a consumer alert in early March, as some jurisdictions within the state began declaring local emergencies, and last week sent another statement reminding that price gouging laws apply to all sellers, “including retailers, wholesalers, and manufacturers.”
Here’s a quick rundown of what price gouging is exactly, and what you should do if you it happening in your community.
What is price gouging?
When an emergency is declared at the federal, state or local level, the California penal code defines unlawful price gouging as the raising of prices on essential goods or services by more than 10 percent of where they were before that declaration.
What are ‘essential’ goods and services?
The state penal code gives a broad definition for what constitutes an essential item or service for purchase, which includes but is not limited to the following:
▪ consumer food items, including pet food;
▪ medical supplies;
▪ gasoline;
▪ building materials, such as tools, lumber or anything that can be used “in the building or rebuilding of property”;
▪ transportation, freight and storage services;
▪ rental housing;
▪ lodging; and
▪ emergency supplies, which can include: “water, flashlights, radios, batteries, candles, blankets, soaps, diapers, temporary shelters, tape, toiletries, plywood, nails, and hammers,” Section 396 of the California Penal Code reads.
The list is not exhaustive and there are some exceptions to the above items, most notably when it comes to rent. The law says landlords can increase rent beyond 10 percent if they “can prove that the increase is directly attributable to additional costs for repairs or additions beyond normal maintenance,” and they can still institute rent raises that had been contractually agreed upon before the emergency was declared.
Who enforces price gouging violations?
Price gouging laws are enforced by both the state Attorney General’s Office and by local district attorneys.
Consumers who notice a violation can file to either office via mail or email.
How can I report a violation?
Through the state office, customers who wish to report a price gouging violation can do so at http://oag.ca.gov/report.
A printable copy of the mail-in form can be found here.
In Sacramento County, complaints can be filed through the District Attorney’s Office’s consumer protection division.
Price gouging is reported through a consumer fraud complaint form. A physical copy of that form can be found here. Completed forms should be emailed to ConsumerEnvironmental@sacda.org, or sent by mail to 906 G St., Suite 730, Sacramento, CA 95814.
The El Dorado County District Attorney’s Office takes reports of consumer protections laws via phone at 866-629-0171, using a mail-in form found online. Forms should be mailed to the County of El Dorado District Attorney at 778 Pacific St., Placerville, CA 95667.
Placer County asks anyone who observes price gouging to contact the District Attorney’s Office at 916-543-8000 or to report the email at infopcda@placer.ca.gov.
Yolo County complaints can be made by calling 530-666-8180 or submitting a consumer complaint form to the District Attorney’s Office, which can be emailed to fraud@yoloda.org or physically mailed to 301 Second Street, Woodland, CA, 95695.
What is the punishment for price gouging?
A violation of California’s price gouging law is punishable by up to one year in jail, a fine of up to $10,000 and a civil penalties of up to $2,500 per violation.
