Rewards for those who report epidemic price gouging

If you were one of the 1,500 New Yorkers who reported Lysol product price hikes to the state attorney general during the pandemic, expect to receive a $10 reimbursement check.

On Monday, the New York Attorney General’s Office announced that the grocer and drug wholesaler will pay New York $100,000, $20,000 of which will be paid in penalties;

“In the early days of the outbreak, the Office of the Attorney General (OAG) received complaints from consumers about abnormally high prices for Lysol products, including Lysol Spray and Lysol Wipes. The OAG investigation found that Quality King, which distributes to retailers, pharmacies and local grocery stores in New York and Long Island, raised Lysol prices by more than 50 percent. New York’s price gouging statute prevents companies throughout the supply chain from raising the prices of essential goods and services during emergencies.”

The office said the move is part of the AG’s ongoing efforts to protect New Yorkers and cited several initiatives, including new rules announced in March that strengthen enforcement of New York’s price gouging law.

The case reminds sellers that there are times when the principles of supply and demand pricing may not apply. See the full press release at AG.NY.gov.

Ina Steiner

Ina Steiner
Ina Steiner is the co-founder and editor of EcommerceBytes and has been reporting on e-commerce since 1999. He is a widely cited authority on marketplace selling and is the author of Turning EBay Data into Dollars (McGraw-Hill 2006). His blog was featured in Blogging Heroes (Wiley 2008). He is a member of the Online News Association (September 2005 to present) and Investigative Reporters and Editors (March 2006 to present). Follow her on Twitter at @ecommercebytes and email news tips to ina@ecommercebytes.com. See disclosure at EcommerceBytes.com/disclosure/.

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