Relates to kosher for Passover product price gouging

1 Co-sponsor

• John L. Sampson

BILL NUMBER:S460

Title of bill

An act to amend the agriculture and markets law, in relation to kosher for Passover product price gouging

Purpose

To prohibit "price gouging" of kosher Passover products by manufacturers, distributors and retailers who sell such kosher products, during the Jewish Passover season.

Summary of provisions

Section 1 - Amends the Agriculture and Markets Law by adding a new section 201-i. Prohibits manufacturers, distributors and retailers of Kosher for Passover products from offering to sell such products at an excessive price, during the Passover season. Authorizes the Department of Agriculture and Markets to investigate instances of Kosher for Passover product price gouging during the Passover season. Requires such investigation to include an annual Passover price survey to examine the prices of Kosher for Passover products, before, during and after the Passover season. Authorizes the court to impose a civil penalty not to exceed $10,000, and where appropriate, order restitution to aggrieved consumers. Directs the Commissioner of Agriculture and Markets to promulgate the rules and regulations necessary to implement this law, and establish a "Kosher for Passover Products Hotline" for consumers to report complaints of "price gouging".

Section 2 - Effective Date

Existing law

Current law does not address the issue of Kosher for Passover product "price gouging".

Justification

During the observance of Passover, many manufacturers, distributors and retailers inflate their prices for Kosher Passover products. The former Director of the Consumer Protection Board, Tim Carey, conducted a 1997 product survey which found significant disparities in the pricing of Kosher Passover products from store-to-store and region-to-region. These unfair pricing practices continue today. New York State has a significantly large Jewish population. "Price gouging" of Kosher Products during Passover, is not only an unscrupulous business practice, but it targets Jewish consumers at a time when the demand for such products is at its highest, and forces them to endure this unfair pricing. This bill would eliminate such "price gouging" and enhance consumer protections during the time when the consumer's demand for Kosher Passover Products is at its peak.

Legislative history

2012: S.115 - Referred to Consumer Protection 2011: S.115 - Notice of Committee Consideration Requested, Committee Discharged and Committed to Consumer Protection 2009-10: S.3122 - Referred to Consumer Protection 2007-08: S.768 - Referred to Consumer Protection 2005-06: S.822 - Referred to Consumer Protection 2003-04: S.4367 - Referred to Consumer Protection

Fiscal implications

None to State or Local Government.

Effective date

The sixtieth day after it shall have become a law.