Golden State Today

As the landmark price transparency law is set to go into effect on July 1, California Attorney General Rob Bonta has released guidance to help businesses across the state comply with the new law. The law, Senate Bill 478 (SB 478), aims to tackle the surge of hidden fees added to Californians' bills at the end of transactions.

"California is at the forefront of a national movement against hidden and deceptive fees. Combating hidden and deceptive fees has been a top priority of the Biden-Harris Administration's economic agenda," according to a statement from the Attorney General.

SB 478, also known as the “Honest Pricing Law” or “Hidden Fees Statute,” makes it illegal for businesses to advertise or list a price for a good or service that does not include all required fees or charges. The law does not impact the actual prices charged by businesses but requires that all mandatory charges be included in the listed price upfront.

California Senator Bill Dodd, who co-authored the bill, emphasized the importance of transparent pricing, stating, "Every consumer deserves honest, up-front pricing."

Starting July 1, SB 478 will prohibit hidden fees in California, ensuring that the total cost of a good or service is made clear to consumers upfront. The legislation covers a wide range of consumer goods and services, including event tickets, hotels, restaurants, and food delivery.

The FAQ released by the Attorney General's office provides detailed guidance for businesses to comply with the new law. The text of the legislation and additional resources can be found on the California Attorney General's website.