Golden State Today

California Attorney General Rob Bonta issued a consumer alert today following Governor Newsom’s declaration of a state of emergency in Plumas County due to the Gold Complex Fire, and in Butte and Tehama Counties due to the Park Fire. The fires have collectively burned more than 181,000 acres, forcing the evacuation of thousands of residents, destroying homes, and threatening critical infrastructure.

In his alert, Attorney General Bonta reminded Californians that price gouging during a state of emergency is illegal under Penal Code Section 396. He urged residents who believe they have been victims of price gouging to report it to local authorities or through the Attorney General's website at oag.ca.gov/report. A list of all current price gouging restrictions can be found online.

“As the Gold Complex and Park Fires force evacuations across Plumas, Butte, and Tehama Counties, I want to be very clear: Price gouging during a state of emergency is illegal. This means that businesses and landlords cannot unlawfully raise the price of essential supplies, hotels, rental housing, and more,” said Attorney General Bonta. “I urge all Californians to listen to communication from officials, lend a helping hand where they can, and report price gouging when they see it.”

California law generally prohibits charging prices that exceed by more than 10% the cost before an emergency declaration. For items sold after an emergency declaration begins, sellers cannot charge prices exceeding their costs by more than 50%. This law covers food, emergency supplies, medical supplies, building materials, gasoline as well as repair or reconstruction services, emergency cleanup services certain transportation services freight and storage services hotel accommodations and rental housing Exceptions exist if labor goods or material costs increase for businesses

Violators are subject to criminal prosecution which may result in up to one-year imprisonment in county jail or fines up to $10 000 Civil enforcement actions including penalties up to $2 500 per violation injunctive relief and mandatory restitution may also be applied The statute can be enforced by both the Attorney General's office and local district attorneys

For additional information refer to DOJ's FAQs on price gouging.