Texas warns businesses against price gouging during disasters

AUSTIN, Texas (ValleyCentral) — The Office of the Attorney General of Texas wants to remind the public how to spot and report price gouging.

The Texas Attorney General has issued a stern warning about price-gouging in times of disaster.

The Attorney General wants to remind businesses and the public that price gouging is illegal.

Additionally, the Office of the Attorney General has the authority to prosecute any business that engages in price gouging during times of disaster declared by the governor or president.

In §17.46(b), the Texas Deceptive Trade Practices-Consumer Protection Act declares that it is a false, misleading, or deceptive act or practice to take advantage of a disaster declared by the governor or the President by the following:

• Selling or leasing fuel, food, medicine, lodging, building materials, construction tools, or another necessity at an exorbitant or excessive price.
• Demanding an exorbitant or excessive price in connection with the sale or lease of fuel, food, medicine, lodging, building materials, construction tools, or another necessity.

The Attorney General's Office states that high prices alone do not mean price gouging has taken place, as businesses are allowed to determine the price for their products.

Residents are advised to keep an eye out for prices to go up after a disaster has been declared by the governor or the president.

The public can file a consumer complaint to the Attorney General's Office to report a suspected price gouging incident.