FAIR ONLINE PRICING ACT

104th Regular Session Introduced by Eva-Dina Delgado

The act requires total price transparency online by prohibiting hidden or deceptive charges and mandating clear disclosure of all costs before purchase.

Summary of HB 5530 (104th Illinois General Assembly) — Fair Online Pricing Act

Purpose and intent

Establishes protections and standards to ensure fair online pricing practices for consumers in Illinois.

Aims to increase transparency around pricing, prevent deceptive practices, and provide a mechanism for redress when consumers encounter unfair online price practices.

Key provisions and changes

Prohibition or regulation of certain online pricing tactics that could mislead consumers (e.g., hidden fees, deceptive price inflation during checkout, or inconsistent pricing practices across devices or user accounts).

Requirements for disclosure of all applicable charges before purchase, ensuring total price transparency in online transactions.

Standards for “comparable online pricing” to prevent bait-and-switch or misleading discounts.

Provisions to address dynamic pricing concerns that unreasonably discriminate against consumers based on location, device, or identity, where such discrimination harms the consumer’s ability to compare prices.

Possible mandate for online retailers and marketplaces to publish clear terms governing price changes, discount eligibility, and promotional periods.

Consumer remedies and enforcement mechanisms, potentially including:

Notification and cure periods for alleged price violations.
Procedures for complaints to a state agency or enforcement authority.
Penalties or civil remedies for violations, aligned with existing consumer protection frameworks in Illinois.

Applicability scope to online retailers, marketplaces, and potentially third-party sellers operating within Illinois or targeting Illinois consumers.

Who would be affected

Online retailers, e-commerce platforms, and marketplaces operating in Illinois or serving Illinois residents.

Businesses utilizing dynamic or promotional pricing strategies that could raise concerns about transparency.

Consumers in Illinois who shop online, potentially benefiting from clearer pricing and faster recourse for deceptive practices.

State consumer protection agencies responsible for enforcing price transparency and deceptive practices laws.

Procedural and timeline aspects

The bill would progress through the Illinois General Assembly with standard committee reviews, amendments, and floor votes, followed by any required signing by the Governor.

If enacted, effective dates for various provisions may be phased in (e.g., a grace period for compliance, with full enforcement after a specified number of months or quarters).

Potential transitional rules for existing contracts or ongoing promotions to align with the new pricing transparency standards.

Notes

The summary reflects the bill’s stated aim to promote fair pricing online and protect Illinois consumers from deceptive or opaque pricing practices.

Specifics such as exact definitions, penalties, enforcement authorities, and dates would be clarified in the bill text and any eventual implementing regulations.

Co-sponsor: Eva-Dina Delgado.