As firefighters battle multiple fires throughout the Los Angeles area that have forced mass evacuations, county officials on Friday warned businesses against the illegal practice of price gouging and urged residents to report suspected violators.
California law considers price gouging during a declared emergency a serious offense. Businesses are prohibited from raising prices by more than 10% on “essential goods and services” that include hotel rooms, rental housing and some supplies.
“Los Angeles County residents should not have to be burdened with price hikes by unscrupulous businesses when they are already dealing with the disruption and stress of life-threatening emergencies,” Director Rafael Carbajal, director of the LA County Department of Consumer and Business Affairs, said in a statement. “We stand ready to investigate reports of price gouging and to hold violators accountable.”
Price-gouging protections are in effect for 30 days after an emergency declaration and may extend up to 180 days for contractor-related services.
Business owners and operators must maintain detailed records of pricing before, during and after a declared emergency, according to the DCBA. Penalties for violations include fines up to $10,000, a year in jail or both.
Officials said consumers who suspect price gouging should keep receipts, invoices or other records. To report violations, visit stoppricegouging.dcba.lacounty.gov or call 800-593-8222.
County investigators are monitoring prices in fire-impacted areas and coordinating with local prosecutors to address alleged violations, officials said.
“Price gouging laws have been enforced in recent months during crises such as the Rancho Palos Verdes landslides, the Bridge Fire in the Angeles National Forest and the Franklin Fire in Malibu,” according to the DCBA.
County supervisors reactivated gouging enforcement when the board declared a local emergency Jan. 7 due to the winds and fires.
Updates on evacuation orders and emergency resources is online at lacounty.gov/emergency. Information on price gouging and post-disaster consumer issues is available at dcba.lacounty.gov/disasterready.