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Bill

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Bill

A 4820

Prohibits wholesale dealers from price gouging sale of physical goods.

2024-2025 Regular Session Introduced by Julio Marenco and 1 co-sponsor

New Jersey bill prohibits wholesale dealers from price gouging on physical goods to prevent supply-chain cost increases from reaching consumers during shortages.

Introduced in the Assembly, Referred to Assembly Consumer Affairs Committee
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Bill Summary · A 4820

Legislative bill overview

Bill A 4820 would prohibit wholesale dealers in New Jersey from engaging in price gouging when selling physical goods. The bill establishes legal restrictions on how much wholesale dealers can increase prices, presumably during emergencies or periods of supply disruption. It was introduced in the Assembly and referred to the Consumer Affairs Committee in September 2024.

Why is this important

Price gouging restrictions aim to prevent exploitation of consumers during crises when demand spikes and supply is limited. Extending these protections to the wholesale level could theoretically prevent price increases from cascading through the supply chain, potentially stabilizing retail prices for end consumers. However, the bill's actual effectiveness depends heavily on how "price gouging" is defined and what price increases are considered permissible.

Potential points of contention

  • Definition ambiguity: The bill's success hinges on how "price gouging" is legally defined; vague thresholds could create compliance uncertainty for wholesalers or prove unenforceable
  • Market function concerns: Critics may argue price controls at the wholesale level could discourage supply increases during shortages, potentially worsening scarcity rather than protecting consumers
  • Scope and enforcement: Unclear whether the bill applies only during declared emergencies or continuously, and what agency enforces violations and what penalties apply

Compiled from official sources — confirm details with the bill’s official record.

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