Alabama AG warns against 'price gouging' in wake of hurricane

Alabama Attorney General Steven T. Marshall

Alabama's attorney general issued a warning Saturday night to those who might exploit the ongoing bad weather for illegal profit.

Attorney General Steve Marshall stated that Alabama's price gouging law, which was activated by Governor Kay Ivey in the aftermath of Hurricane Harvey, remains in effect under the threat of Hurricane Irma.

Ivey declared a State of Emergency ahead of Hurricane Irma on Sept. 8, according to Marshall's statement. That storm is anticipated to affect Alabama by the end of the weekend and into early next week, according to the statement.

In her declaration, Governor Ivey cited her previous emergency proclamations of August 30, 2017, September 1, 2017, and September 6, 2017, including notice that the imposition of unconscionable prices - or "price gouging" - during the State of Emergency is unlawful, the attorney general noted.

Citizens should be cautious of those who would prey upon them through crimes such as price gouging and home repair fraud, Marshall stated. He also warned that anyone who seeks to take advantage of the public will be held accountable.

Marshall explained the law in his statement:

"Alabama's price gouging law comes into effect when the Governor declares a State of Emergency, and it prohibits the "unconscionable pricing" of items for sale or rent.  Although what constitutes an unconscionable price is not specifically set forth in state law, a price that is 25 percent or more above the average price charged in the same area within the last 30 days--unless the increase can be attributed to a reasonable cost-- is a prima facie case of unconscionable pricing. The penalty is a fine of up to $1,000 per violation, and those determined to have willfully and continuously violated this law may be prohibited from doing business in Alabama."

Consumers and officials can report any problems of alleged fraud or illegal price gouging to the Attorney General's Office of Consumer Protection by calling toll-free 1-800-392-5658, visiting the Attorney General's website or by writing to 501 Washington Avenue, Montgomery, Alabama, 36130.

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