Bill
Bill > S3732
NJ S3732
NJ S3732Prohibits certain businesses from using dynamic, surveillance, or personalized algorithmic pricing when selling groceries to consumers.
summary
Introduced
03/05/2026
03/05/2026
In Committee
03/05/2026
03/05/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This bill prohibits certain businesses from using certain pricing strategies, such as dynamic pricing, surveillance pricing, or personalized algorithmic pricing, when selling groceries and other foodstuffs to consumers. Under the bill, it is an unlawful practice and a violation of the consumer fraud act for a retail food store or a third-party grocery delivery platform to use dynamic pricing, surveillance pricing, or personalized algorithmic pricing when selling groceries and other foodstuffs, either in person or online, to a consumer. However, the provisions of this bill do not limit any retail food store or third-party grocery delivery platform from providing consumers, based on previous purchase history, a discount, promotional price, or loyalty program benefit. An unlawful practice under the consumer fraud act is punishable by a monetary penalty of not more than $10,000 for a first offense and not more than $20,000 for any subsequent offense. In addition, violations may result in cease and desist orders issued by the Attorney General, the assessment of punitive damages, and the awarding of treble damages and costs to the injured party. All monies received from penalties assessed for violations of the provisions of this bill under the consumer fraud act are to be credited to the "Grocery Pricing Fairness Fund." The "Grocery Pricing Fairness Fund" is a fund administered by the State Treasurer and funded by penalties collected under the bill. The Legislature is to annually appropriate monies from the fund to the Department of Agriculture for distribution to community food pantries. Funds provided to community food pantries are required to be used exclusively for the purchase of groceries and other foodstuffs. Additionally, the Department of Agriculture is to coordinate with the Departments of Human Services and Health to distribute the funds.
AI Summary
This bill prohibits certain businesses, including retail food stores and third-party grocery delivery platforms, from using dynamic pricing, surveillance pricing, or personalized algorithmic pricing when selling groceries and other foodstuffs to consumers, either in person or online. Dynamic pricing refers to prices that change rapidly based on algorithms, surveillance pricing uses data collected through electronic means to set customized prices for specific consumers, and personalized algorithmic pricing combines these methods using consumer data to vary prices for individuals or groups. These practices are deemed unlawful under the consumer fraud act, with penalties including fines of up to $10,000 for a first offense and $20,000 for subsequent offenses, as well as potential cease and desist orders and damages awarded to affected consumers. However, the bill allows businesses to offer discounts, promotional prices, or loyalty program benefits based on a consumer's past purchase history. All penalties collected will be deposited into a "Grocery Pricing Fairness Fund," administered by the State Treasurer, from which the Legislature will annually appropriate funds to the Department of Agriculture for distribution to community food pantries, specifically for the purchase of groceries.
Committee Categories
Business and Industry
Sponsors (2)
Last Action
Introduced in the Senate, Referred to Senate Commerce Committee (on 03/05/2026)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/S3732 |
| BillText | https://pub.njleg.gov/Bills/2026/S4000/3732_I1.HTM |
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