Los Angeles Sues for Price Gouging in Wake of Wildfires

Los Angeles Sues for Price Gouging in Wake of WildfiresThe devastating wildfires in Los Angeles have left thousands of residents vulnerable to unethical business practices, including price gouging. On February 4, 2025, Los Angeles City Attorney Hydee Feldstein Soto announced a lawsuit and criminal charges against individuals and businesses accused of inflating prices on essential goods and services. This case highlights the critical role of consumer protection laws in California.

Understanding Price Gouging Laws in California

Under California Penal Code Section 396, price gouging is illegal during a declared state of emergency. This law prohibits businesses from increasing prices by more than 10% for essential goods and services, including food, gas, housing, and medical supplies. Violators can face severe civil penalties and criminal charges.

How the Lawsuit Impacts Businesses and Consumers

The city attorney’s lawsuit aims to penalize those exploiting residents affected by the wildfires. Businesses and landlords found guilty of price gouging may face fines of up to $10,000 per violation, restitution to victims, and potential criminal charges.

Consumers should remain vigilant and report any instances of price gouging to the Los Angeles Department of Consumer Affairs.

Legal Recourse for Victims of Price Gouging

If you believe you’ve been a victim of price gouging, you may have the right to file a civil lawsuit against the responsible party. Our firm, Law Advocate Group, LLP, has extensive experience handling consumer protection cases and ensuring victims receive justice.

Price gouging in Los Angeles is a serious violation of consumer rights. If you have been affected by unfair pricing practices during a state of emergency, contact Law Advocate Group, LLP for expert legal guidance.

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