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Wednesday, October 16, 2024

AG Stein investigates price gouging reports amid hurricane aftermath

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Attorney General Josh Stein | Official website

Attorney General Josh Stein | Official website

Attorney General Josh Stein has provided an update on price gouging complaints following Hurricane Helene. The Department of Justice has received 64 complaints alleging price gouging in western North Carolina, mainly concerning hotel rates, grocery prices, and fuel prices. These complaints predominantly involve Watauga, McDowell, and Cleveland counties. The Attorney General’s Office is investigating these complaints and has issued three civil investigative demands to gather more information.

Attorney General Stein released a statement addressing the ongoing crisis: "Thank goodness many businesses out west are generously helping their neighbors in need. North Carolina has an anti-price gouging law to make sure that no bad actors try to take advantage of people’s desperation. My team and I aggressively enforce that law and won’t let them. We are taking a close look at the complaints we receive. We are already investigating some of the complaints we’ve received and are sending out three civil investigative demands."

Stein also highlighted the difficulties faced by residents in western North Carolina.

"People in the western part of the state are still struggling to get connected to phones and the internet, and we know it may be hard for them to file complaints with our office right now. The last thing they need is to get scammed while they’re trying to recover. Please share the word about our price gouging law with your friends, families, and social networks, and please encourage anyone who has concerns to report them to my office. We can only get through this catastrophe by looking out for each other."

North Carolina's anti-price gouging law is activated when a state of emergency is declared by either the governor or legislature. Businesses affected by such incidents may have legitimate reasons for raising prices due to resupply needs but must disclose these increases transparently so consumers can make informed decisions. However, businesses cannot unreasonably raise prices during a state of emergency for profit.

Under the law, the Attorney General’s Office can put a stop to price gouging and seek refunds for consumers who paid too much. The courts may also impose civil penalties against price gougers of up to $5,000 for each violation. The law applies to all levels of the supply chain from the manufacturer to the distributor to the retailer.

Price gouging complaints can be filed at 1-877-5-NO-SCAM or www.ncdoj.gov/pricegouging.

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