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Post date: May 15 2014

A.G. Schneiderman Warns Against Price Gouging In Aftermath Of Yates County Flooding

PENN YAN – In response to the Yates County state of emergency declared by Governor Andrew M. Cuomo, Attorney General Eric T. Schneiderman today issued an open letter to vendors warning against price gouging, the inflation of the price of necessary goods and services. General Business Law prohibits such increases in costs of essential items like food, water, gas, generators, batteries and flashlights, and services like tree trimming/removal, ground transportation, or emergency structure repairs during natural disasters or other events that disrupt the market.

“With spring comes the risk of dangerous flooding, and unfortunately, inclement weather can often attract unscrupulous activity from businesses looking to take advantage of the situation,” Attorney General Schneiderman said. “My office is on the lookout, and if a business is considering price gouging, it should be aware that we can and will enforce the law. Anyone who comes across a dramatic increase in the costs of vital goods and services should report it to my office immediately.”

New Yorkers may contact the Attorney General’s office to file complaints about potential price-gouging activity online here

The open letter is addressed to New York State vendors, retailers and suppliers, including but not limited to supermarkets, gas stations, hardware stores, tree trimming/removal services, taxi and livery cab drivers.

A full copy of the letter is available below.

May 14, 2014

This open letter is addressed to anyone selling necessary consumer goods and providing essential services in New York State as local residents start down the road to recovery after the recent storm. 

New Yorkers will rely upon you for the items needed to prepare for, weather, and recover from these extreme conditions, as we all stock up on water, food – including staples such as bread and milk – batteries, generators, fuel and other essentials. Perhaps even more, we will rely on you to assist us in clearing debris and recovering from the damage left to our trees and homes.  It can be a thankless responsibility, and we all owe you our gratitude.

While most understand that customers are also neighbors and would never think of taking advantage of others during such disruptive times, these circumstances always require an extra sense of vigilance and preparation.

This notification should serve as a reminder to vendors and their consumers that state law prohibits price gouging at times when nature demonstrates its disruptive fury. The New York General Business Law forbids those who sell essential consumer goods and services from charging excessive prices during what is clearly an abnormal disruption of the market. Those who do so will ultimately see a reduction in their profits and will be faced with penalties, fines and directives to set up reimbursement funds.

As Attorney General, it is my responsibility to enforce the price-gouging law, and while it is my hope that I will not need to do so, my office is certainly prepared. We will review pricing data and take such complaints filed with my office seriously, as we do with any matter.

New Yorkers have always been at their best when facing adversity, and I am confident that we will live up to that standard throughout this storm recovery.

Eric T. Schneiderman
New York State Attorney General

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