Stop Disaster Price Gouging Act

HR 2427, the Stop Disaster Price Gouging Act, prohibits businesses from significantly increasing prices for essential goods and services during declared disasters. It limits price hikes to 10% for items like food, lodging, and home repairs within 30 days (or 180 days for reconstruction services), and bans prices 50% above pre-disaster costs for essentials. Exceptions include legitimate cost increases (e.g., supplier costs or seasonal adjustments) and pre-agreed rental terms. The Federal Trade Commission enforces the law, while states and individuals can also sue violators for damages or injunctions. Violations face civil penalties up to $25,000 per violation, with recovered funds directed to disaster-affected communities.