Minding Your Business

Proskauer’s perspective on developments and trends in commercial litigation.

Tag Archives: State of Emergency

Minnesota Files Price Gouging Suit Against Egg Producer

Although many states of emergency have expired, new lawsuits that allege price gouging continue to be filed.  On September 3, 2021, Minnesota Attorney General Keith Ellison filed a complaint in Minnesota state court against Sparboe Farms, Inc. alleging the company engaged in price gouging for the sale of eggs in violation of the Minnesota Governor’s … Continue Reading

E-Commerce Platform Facing Price Gouging Scrutiny

In the early days of the pandemic, COVID-19 was synonymous with a mad dash for anti-virus home items like hand sanitizer, toilet paper, and anti-bacterial wipes. Amazon emerged from the shopping frenzy as key source of these products and hosts of others. Even as many states are lifting states of emergency, businesses active during the … Continue Reading

New York’s Overlapping Price Gouging Laws

On June 24, 2021, New York celebrated the lifting on most COVID-19 restrictions. Governor Andrew Cuomo announced the COVID-19 state of emergency would officially expire. With the expiration of the emergency declaration, the state of New York’s price gouging restrictions were also lifted. The New York price gouging statute provides for certain pricing restrictions “during … Continue Reading

Hard to Say Goodbye: States Are Slowly Lifting States of Emergency

In recent weeks many states have either started lifting pricing restrictions put in place during the COVID-19 pandemic or announced their plans to do so. Still, some state governments have indicated that they will continue to hold pricing restrictions in place as a means of protecting consumer welfare as people return to normal spending habits … Continue Reading

A Note of Caution: Inflation, Price Increases, and the Lingering States of Emergencies

Many companies have increased prices in recent months.  Reportedly, across the economy, prices “rose by 5 percent in May compared with a year ago.” Restaurants are raising prices to cover the cost of increases in wages in a tight labor market.  The prices of used and rental cars are quickly rising, due to low inventory … Continue Reading

COVID Winds Down, but States Ramp Up Price Gouging Legislation

Even as Governors lift mask mandates and sporting events welcome fans to stadiums, some states are revisiting their price gouging laws.  Recently, several states have advanced legislation to amend or create price gouging statutes.  State governments are learning from experiences during COVID-19 emergencies and some are proposing legislation to adjust the scope, definitions, and penalties … Continue Reading

Is the Pipeline Interruption a Price Gouging Issue?

Last week, gas stations across much of the Southeast saw shortages, demand spikes, and price increases after a cyberattack on a major gasoline pipeline. Proskauer’s price gouging team authored a Law360 article addressing the lessons learned from the past year’s emergencies — whether related to COVID-19 or natural disasters — to analyze the grounds for … Continue Reading

Amazon to Arbitrate Price Gouging Class Action, Leaving Open Questions of Platform Liability

Class actions plaintiffs and state enforcers have tried to use state price gouging laws to hold online retailers accountable for prices set by third parties.  It remains unclear, however, whether platforms will—or can, under the current legal frameworks—be held liable for price increases made by third party vendors.  One of the key cases that could … Continue Reading

Sixth Circuit Remands Price Gouging Case, Allows Kentucky AG to Resume Investigations

The Sixth Circuit issued its opinion in the Online Merchants Guild v. Cameron case on April 29, 2021, dissolving a preliminary injunction that had prevented the Kentucky Attorney General from investigating alleged violations of Kentucky’s price gouging laws, and remanding to the district court for further proceedings.… Continue Reading

Updates to Price Gouging States of Emergency

Over a year ago, states of emergency were declared across the country. Such emergency declarations are often the trigger for state pricing restrictions.  Tracking the start and end of the emergency declarations is essential for interpreting the pricing restrictions they impose. For instance, in Oklahoma, the pricing restrictions remain in place throughout the duration of … Continue Reading

A Comedy of Errors Sinks a Local Government’s Price Gouging Case

In a case of mistaken identity and a web of conflicting testimony, a Fresno local business successfully appealed a price gouging fine.  The saga between the store and the City of Fresno offers insights in the importance of maintaining proper business records to defend potential price gouging allegations. On April 8, 2021, an Administrative Hearing … Continue Reading
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