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HF 844

1st Engrossment - 92nd Legislature (2021 - 2022) Posted on 03/22/2021 05:12pm

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 02/08/2021
1st Engrossment Posted on 03/04/2021

Current Version - 1st Engrossment

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A bill for an act
relating to consumer protection; prohibiting price gouging; prescribing penalties;
proposing coding for new law in Minnesota Statutes, chapter 325E.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [325E.80] ABNORMAL MARKET DISRUPTIONS; UNCONSCIONABLY
EXCESSIVE PRICES.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the terms in this subdivision
have the meanings given.
new text end

new text begin (b) "Abnormal market disruption" means a change in the market resulting from a natural
or man-made disaster, a national or local emergency, a public health emergency, or an event
resulting in a declaration of a state of emergency by the governor. The governor's declaration
must state that it is activating this section and note the geographic area to which this section
applies. This section shall terminate 30 days after the end of the state of emergency for
which it was activated.
new text end

new text begin (c) "Essential consumer good or service" means a good or service vital and necessary
for the health, safety, and welfare of the public, including without limitation: food, water,
fuel, gasoline, shelter, transportation, health care services, pharmaceuticals, and medical,
personal hygiene, sanitation, and cleaning supplies.
new text end

new text begin (d) "Seller" means manufacturer, supplier, wholesaler, distributor, or retail seller of
goods or services.
new text end

new text begin (e) "Unconscionably excessive" means there is a gross disparity between the seller's
price of a good or service, offered for sale or sold in the usual course of business, during
the 30 days immediately prior to the governor's declaration of an abnormal market disruption
and the seller's price of the same or similar good or service after the governor's declaration
of an abnormal market disruption and the gross disparity is not substantially related to an
increase in the cost of obtaining or selling the good or of providing the service. A gross
disparity between the price of a good or service does not occur when the amount charged
after the abnormal market disruption increased the price 30 percent or less.
new text end

new text begin Subd. 2. new text end

new text begin Prohibition. new text end

new text begin If the governor declares an abnormal market disruption a person
is prohibited from selling or offering to sell an essential consumer good or service for an
amount that represents an unconscionably excessive price.
new text end

new text begin Subd. 3. new text end

new text begin Civil penalty. new text end

new text begin A person who is found to have violated this section is subject
to a civil penalty of not more than $1,000 per sale or transaction, with a maximum penalty
of $10,000 per day.
new text end

new text begin Subd. 4. new text end

new text begin Enforcement authority. new text end

new text begin The attorney general may investigate an alleged
violation of this section. The authority of the attorney general under this section includes
but is not limited to the authority provided under section 8.31.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end