CSAC Bulletin Article

Price Gouging and How to Protect Yourself – Wildfires and Beyond

January 16, 2025

As wildfires continue to cause catastrophic levels of devastation throughout the Los Angeles region, CSAC would like to remind counties that the Governor’s declared state of emergency on January 7, 2025, activated price gouging protections, ensuring that prices for a variety of goods and services cannot be raised by more than 10% during the state of emergency. This includes the following protections under the Penal Code (PC):

  • PC § 396 (b): Any consumer food items or goods, goods or services used for emergency cleanup, emergency supplies, medical supplies, home heating oil, building materials, housing, transportation, freight, and storage services, or gasoline or other motor fuels.
  • PC§ 396 (c): ​​Any repair or reconstruction services or any services used in emergency cleanup.
  • PC § 396 (d): Hotel or motel.
  • PC § 396 (e) & (f): ​​Any rental housing with an initial lease term of no longer than one year, including, but not limited to, a space rented in a mobile-home park or campground.

According to the California State Attorney General, these protections generally apply for 30 days after a declaration of emergency, although for reconstruction services and emergency cleanup services, protections apply for 180 days after a declaration of emergency. The fact that an emergency is continuing does not, by itself, extend price gouging protections beyond their initial expiration, but state and local officials may extend price gouging protections beyond these timeframes by additional orders. As of now, the price gouging protections are set to expire on March 8, 2025.

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