Bill > HR4720

This bill amends the Defense Production Act of 1950 to establish stricter prohibitions on price gouging during times of acute shortages or scarcity of critical goods. The legislation defines an "unfairly excessive price" as a gross disparity in pricing, with a presumptive threshold of a 10% price increase relative to prices before a presidential designation of scarcity or the onset of an acute shortage. "Acute shortage" is broadly defined to include situations caused by events such as diseases, natural disasters, military conflicts, terrorism, or supply-chain disruptions. "Critical goods" encompass consumer food items, essential medical supplies, energy resources, and other goods crucial to public health and welfare. The bill allows exceptions for price increases resulting from legitimate business needs or additional costs outside the seller's control. Violators can be fined either $20,000 or 300 percent of the revenue generated through price gouging, whichever is greater. By establishing clear definitions and penalties, the bill aims to protect consumers from exploitative pricing during emergencies or times of significant supply constraints.

Business and Industry

https://www.congress.gov/bill/119th-congress/house-bill/4720/all-info