HB5795 101ST GENERAL ASSEMBLY

LRB101 21395 JLS 72026 b

101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB5795

Introduced , by Rep. Michael J. Zalewski

SYNOPSIS AS INTRODUCED:

815 ILCS 505/2WWW new

Amends the Consumer Fraud and Deceptive Business Practices Act concerning price gouging. Provides that it is an unfair or deceptive act or practice for any person, contractor, business, or other entity to sell or offer to sell, either in person, through an intermediary, or online, 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, during the period of a disaster declared by either the President of the United States or the Governor of the State of Illinois, and for a period of 45 days following the end of the disaster period, for an amount that represents an unconscionably high price. Sets forth criteria for determining whether a price is unconscionably high. Effective immediately.

A BILL FOR

AN ACT concerning business.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Consumer Fraud and Deceptive Business Practices Act is amended by adding Section 2WWW as follows:

(815 ILCS 505/2WWW new)

Sec. 2WWW. Price gouging during a disaster.

(a) It is an unfair or deceptive act or practice, within the meaning of Section 2 of this Act, during any declared disaster by the President of the United States or the Governor of the State of Illinois and for a period of 45 days following that declaration, for any person, contractor, business, or other entity, including any manufacturer, supplier, wholesaler, distributor or retailer, to sell or offer to sell within the disaster area, either in person, through an intermediary, or online, any consumer food items or goods, goods or services used for emergency cleanup or response, emergency supplies, medical supplies, home heating oil, building materials, housing, transportation, freight, and storage services for an amount that represents an unconscionably high price.

(b) For the purposes of this Section, a price is unconscionably high if:

(1) the amount charged represents a gross disparity between the price of the good or service and: (A) the price at which the same good or service was sold or offered for sale in the usual course of business immediately prior to the declaration of the disaster; (B) if the person, contractor, business, or other entity did not sell or offer for sale such goods or services immediately prior to declaration of the disaster, the price at which similar goods or services were offered for sale or sold by a similarly situated person, contractor, business, or entity in the usual course of business immediately prior to the declaration of the disaster; or (C) the price at which the same or similar good or service is readily obtainable by other buyers in the disaster area; and

(2) the disparity is not directly attributable to increased prices charged by the related business suppliers, additional costs for labor or materials to provide the good or service, or other increased costs not within the control of the person, contractor, business, or entity.

Section 99. Effective date. This Act takes effect upon becoming law.