By Aug. 1, governor or Legislature can limit price gouging law to specific areas during emergencies

Gov. Kay Ivey today signed legislation that would allow Alabama’s governor or Legislature to limit the state’s pricing gouging law to areas rather the entire state during declared emergencies.

Act No. 2023-122 by Sam Givhan, R-Huntsville, and Rep. Jamie Kiel, R-Russellville, takes effect Aug. 1.

The law allows the governor or the Alabama Legislature to specify what areas and for what time period the state’s price gouging (unconscionable pricing) law would apply during declared states of emergency.

The whole state won’t have to abide by the law” that puts “a freeze” on pricing for retailers or others during a state of emergency, Kiel said. An emergency declaration “at the coast won’t affect the Tennessee Valley,” said Givhan.

Under Alabama’s price gouging law, it is unlawful for anyone to raise prices on goods by more than 25% during a declared state of emergency.

This article is part of the Alabama Retail Report, a communication for Alabama Retail Association members. Not a member? Join us!

Reprints or republishing are welcomed but require permission. Contact us for permission.