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[BUSINESS] · United States · 3 sources

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Maryland implements law banning dynamic grocery pricing

Maryland has implemented the Protection From Predatory Pricing Act (House Bill 895), which took effect on October 1. The law targets food retailers and third-party delivery services to prevent the use of dynamic pricing and certain types of consumer personal data to determine the cost of goods.

Dynamic pricing allows businesses to adjust prices based on real-time factors such as demand, time of day, or weather. The legislation aims to provide shoppers with more consistent pricing for budgeting purposes. It specifically prohibits retailers from using consumer surveillance or personal data to set individualized prices and includes protections regarding protected-class information in advertising and pricing.

Introduced by Governor Wes Moore’s administration, the measure addresses concerns over rising grocery costs and the use of emerging retail technologies like electronic shelf labels. Violations are classified as unfair, abusive, or deceptive trade practices under the Maryland Consumer Protection Act. Penalties for non-compliance include a $10,000 fine for first-time offenders and an additional $25,000 for each subsequent violation.

Entities

Instacart · Maryland · Maryland Consumer Protection Act · McDonald's · Wes Moore

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