I 
116TH CONGRESS 
2D SESSION 
H. R. 6450 
To prevent price gouging during emergencies, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 3, 2020 
Mr. NEGUSE introduced the following bill; which was referred to the 
Committee on Energy and Commerce 
A BILL 
To prevent price gouging during emergencies, and for other 
purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Price Gouging Preven-
tion Act’’. 
SEC. 2. FINDINGS. 
Congress finds the following: 
(1) During a national emergency, state of emer-
gency, or public health emergency, some merchants 
have taken unfair advantage of consumers by greatly 
increasing prices for essential consumer goods. 
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(2) While the pricing of consumer goods and 
other supplies is generally best left to the market-
place under ordinary conditions, when a declared na-
tional emergency or state of emergency results in ab-
normal disruptions of the market, the public interest 
requires that excessive and unjustified increases in 
the prices of essential consumer goods be prohibited. 
(3) To protect citizens from excessive and un-
justified increases in the prices charged during or 
shortly after a declared national emergency or state 
of emergency for consumer goods and supplies that 
are vital and necessary for the health, safety, and 
welfare of consumers is of utmost concern and im-
portance. 
SEC. 3. PREVENTION OF PRICE GOUGING DURING EMER-
GENCIES. 
(a) IN GENERAL.—During an emergency declaration, 
including a renewal thereof, and for a period of 30 days 
after such emergency period ends, it shall be unlawful, in 
the region or State affected by the emergency declaration, 
for any seller to sell or offer to sell any consumer good 
for a price that is more than 10 percent greater than the 
price charged by similarly situated sellers for those con-
sumer goods during the 120-day period before the date 
of the declaration of the emergency. 
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(b) FACTORS FOR CONSIDERATION.—In determining 
whether a seller has violated subsection (a), there shall 
be taken into account, with respect to the price at which 
such seller sold or offered for sale the consumer good, fac-
tors that include— 
(1) whether such increase in price was directly 
attributable to additional costs of the consumer 
goods, or directly attributable to additional costs for 
labor or materials used to provide the consumer 
goods during the emergency declaration; and 
(2) whether such price is not more than 10 per-
cent greater than the total of the cost to the seller 
plus the markup customarily applied by the seller for 
that consumer good in the usual course of business 
before the onset of the public health emergency. 
(c) ENFORCEMENT.— 
(1) ENFORCEMENT BY FEDERAL TRADE COM-
MISSION.— 
(A) UNFAIR OR DECEPTIVE ACTS OR PRAC-
TICES.—A violation of subsection (a) shall be 
treated as a violation of a regulation under sec-
tion 18(a)(1)(B) of the Federal Trade Commis-
sion Act (15 U.S.C. 57a(a)(1)(B)) regarding 
unfair or deceptive acts or practices. 
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(B) POWERS OF COMMISSION.—The Com-
mission shall enforce subsection (a) in the same 
manner, by the same means, and with the same 
jurisdiction, powers, and duties as though all 
applicable terms and provisions of the Federal 
Trade Commission Act (15 U.S.C. 41 et seq.) 
were incorporated into and made a part of this 
section. Any person who violates such sub-
section shall be subject to the penalties and en-
titled to the privileges and immunities provided 
in the Federal Trade Commission Act. 
(2) EFFECT ON OTHER LAWS.—Nothing in this 
section shall be construed in any way to limit the 
authority of the Commission under any other provi-
sion. 
(3) ENFORCEMENT BY STATE ATTORNEYS GEN-
ERAL.— 
(A) IN GENERAL.—If the attorney general 
of a State, or another official or agency des-
ignated by a State, has reason to believe that 
any person has violated or is violating sub-
section (a), the attorney general, official, or 
agency of the State, in addition to any author-
ity it may have to bring an action in State 
court under its consumer protection law, may 
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bring a civil action in any appropriate United 
States district court or in any other court of 
competent jurisdiction, including a State court, 
to— 
(i) enjoin further such violation by 
such person; 
(ii) enforce compliance with subsection 
(a); 
(iii) obtain civil penalties; and 
(iv) obtain damages, restitution, or 
other compensation on behalf of residents 
of the State. 
(B) NOTICE.—Before filing an action 
under subparagraph (A), the attorney general, 
official, or agency of the State involved shall 
provide to the Commission a written notice of 
such action and a copy of the complaint for 
such action. If the attorney general, official, or 
agency determines that it is not feasible to pro-
vide the notice described in this subsection be-
fore the filing of the action, the attorney gen-
eral, official, or agency shall provide written no-
tice of the action and a copy of the complaint 
to the Commission immediately upon the filing 
of the action. 
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(C) AUTHORITY OF COMMISSION.—On re-
ceiving notice under subparagraph (B) of an ac-
tion under this section, the Commission shall 
have the right— 
(i) to intervene in the action; 
(ii) upon so intervening, to be heard 
on all matters arising therein; and 
(iii) to file petitions for appeal. 
(D) LIMITATION ON STATE ACTION WHILE 
FEDERAL ACTION IS PENDING.—If the Commis-
sion has instituted a civil action for violation of 
this section, no State attorney general, or offi-
cial or agency of a State, may bring an action 
under this paragraph during the pendency of 
that action against any defendant named in the 
complaint of the Commission for any violation 
of this section alleged in the complaint. 
(d) DEFINITIONS.—For purposes of this section, the 
following definitions apply: 
(1) CONSUMER
GOOD.—The term ‘‘consumer 
good’’ means a good offered in commerce, includ-
ing— 
(A) food, water, ice, flashlights, radios, 
batteries, candles, blankets, soaps, diapers, 
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toiletries, gasoline, generators, temporary shel-
ters, plywood, nails, hammers; 
(B) prescription and nonprescription medi-
cations, bandages, gauze, isopropyl alcohol, any 
personal protective equipment for protection 
from or prevention of a contagious disease, 
antibacterial materials; or 
(C) goods vital and necessary for the 
health, safety, welfare of consumers deemed 
necessary by public health officials during a de-
clared public health emergency. 
(2) EMERGENCY
DECLARATION.—The term 
‘‘emergency declaration’’ means— 
(A) a public health emergency declared 
pursuant to section 319 of the Public Health 
Service Act (42 U.S.C. 247d); and 
(B) a declaration of emergency declared 
pursuant to the Robert T. Stafford Disaster 
Relief and Emergency Assistance Act (42 
U.S.C. 5121 note). 
(3) SELLER.—The term ‘‘seller’’ means any 
person selling or offering for sale any consumer 
good, as defined in such section. 
Æ 
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