Stop Price Gouging in Grocery Stores Act of 2025
- Bill Number
- H.R. 4966
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Commerce
- Status
- Introduced
- Latest Action
- 2025-08-12: Referred to the Committee on Energy and Commerce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- Last Updated
- 2026-07-01T08:08:19Z
AI-Generated Summary
Stop Price Gouging in Grocery Stores Act of 2025
Purpose
This legislation aims to prevent retail food stores from charging excessively high prices for goods and from using consumer surveillance data to set individualized prices. It establishes federal rules to protect consumers from these practices while allowing limited exceptions for legitimate cost-based pricing or discounts.
Key Provisions
- Price Gouging Ban: Retail food stores may not sell or offer items at a "grossly excessive price." Stores can defend against claims by showing that price increases result from costs outside their control, such as supply chain issues.
- Surveillance-Based Pricing Ban: Stores cannot adjust prices based on personal consumer information collected via technology like facial recognition or electronic surveillance. Exceptions exist for uniform discounts based on factors like age or student status, provided they meet specific criteria and do not use data for other purposes.
- Biometric Data Rules: Stores may use biometric data (such as fingerprints or facial scans) only with voluntary consumer consent, written disclosures about collection and use, and restrictions on sharing with third parties.
- Facial Recognition Disclosure: Stores using facial recognition must post clear signage at entrances explaining its use and purpose.
- Electronic Shelf Label Ban: Stores larger than 10,000 square feet cannot use digital price displays and must rely on traditional signs, stickers, or tags.
- Enforcement Mechanisms: The Federal Trade Commission (FTC) treats violations as unfair practices under existing law, with powers to issue regulations. States may sue on behalf of residents, and consumers have a private right to sue for damages (up to $3,000 per violation or triple that for willful acts), plus attorney fees. Pre-dispute arbitration agreements are invalid for these claims.
- Funding and Preemption: Authorizes $5 million for FTC implementation through 2032. The law does not override state laws that offer stronger consumer protections.
Significant Changes to Existing Law
The bill creates new federal prohibitions on price gouging and data-driven pricing in grocery stores, treating them as violations of the Federal Trade Commission Act. It introduces a private right of action and state enforcement options not previously available for these specific issues, and it restricts electronic pricing technology in larger stores.
Potential Impacts
- Government Agencies: The FTC gains authority to enforce new rules, issue guidelines on pricing definitions, and receive dedicated funding.
- Citizens: Consumers may face fewer instances of sudden price spikes or personalized pricing based on personal data, along with greater transparency about surveillance tools.
- International Relations: No direct effects identified in the legislation.
Main Stakeholders Affected
- Retail food stores and their operators.
- Consumers purchasing groceries.
- The Federal Trade Commission.
- State attorneys general and state courts.
- Technology providers offering surveillance or digital pricing tools.
Notable Legal, Constitutional, or Political Implications
- The bill expands consumer remedies through private lawsuits and limits arbitration clauses, potentially increasing litigation.
- It allows states to maintain or add stronger rules without full federal preemption.
- Enforcement relies on FTC regulations to define terms like "grossly excessive price," which could lead to future administrative or legal challenges.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (86)
Rep. Casar, Greg [D-TX-35], Rep. Nadler, Jerrold [D-NY-12], Rep. Clarke, Yvette D. [D-NY-9], Rep. Tran, Derek [D-CA-45], Rep. Simon, Lateefah [D-CA-12], Rep. García, Jesús G. "Chuy" [D-IL-4], Rep. Hoyle, Val T. [D-OR-4], Rep. Evans, Dwight [D-PA-3], Rep. Lee, Summer L. [D-PA-12], Rep. Pocan, Mark [D-WI-2], Rep. Carson, André [D-IN-7], Del. Norton, Eleanor Holmes [D-DC-At Large], Rep. Watson Coleman, Bonnie [D-NJ-12], Rep. McIver, LaMonica [D-NJ-10], Rep. Ansari, Yassamin [D-AZ-3], Rep. Ramirez, Delia C. [D-IL-3], Rep. Ocasio-Cortez, Alexandria [D-NY-14], Rep. Pressley, Ayanna [D-MA-7], Rep. Garcia, Sylvia R. [D-TX-29], Rep. Leger Fernandez, Teresa [D-NM-3], Rep. Jayapal, Pramila [D-WA-7], Rep. Thanedar, Shri [D-MI-13], Rep. Stansbury, Melanie A. [D-NM-1], Rep. Deluzio, Christopher R. [D-PA-17], Rep. Kamlager-Dove, Sydney [D-CA-37], Rep. Cohen, Steve [D-TN-9], Rep. Omar, Ilhan [D-MN-5], Rep. Brownley, Julia [D-CA-26], Rep. Tokuda, Jill N. [D-HI-2], Rep. Gonzalez, Vicente [D-TX-34], Rep. Pettersen, Brittany [D-CO-7], Rep. McGovern, James P. [D-MA-2], Rep. Grijalva, Adelita S. [D-AZ-7], Rep. Harder, Josh [D-CA-9], Rep. Davids, Sharice [D-KS-3], Rep. Adams, Alma S. [D-NC-12], Rep. DeSaulnier, Mark [D-CA-10], Rep. DeLauro, Rosa L. [D-CT-3], Rep. Dingell, Debbie [D-MI-6], Rep. Cisneros, Gilbert Ray [D-CA-31], Rep. Budzinski, Nikki [D-IL-13], Rep. Trahan, Lori [D-MA-3], Rep. Levin, Mike [D-CA-49], Rep. McClain Delaney, April [D-MD-6], Rep. Williams, Nikema [D-GA-5], Rep. Boyle, Brendan F. [D-PA-2], Rep. Swalwell, Eric [D-CA-14], Rep. Rivas, Luz M. [D-CA-29], Rep. Ruiz, Raul [D-CA-25], Rep. Vargas, Juan [D-CA-52] and 36 more
Recent Actions
- 2025-08-12: Referred to the Committee on Energy and Commerce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-08-12: Referred to the Committee on Energy and Commerce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-08-12: Introduced in House
- 2025-08-12: Introduced in House
Bill Versions
- Stop Price Gouging in Grocery Stores Act of 2025 — issued 2025-08-12 — PDF (17 pages)