Price gouging in post-fire Sonoma County is still a crime, says DA

Gov. Jerry Brown extended the protection of a state law forbidding price gouging after a disaster until December, 2018.|

According to a release from the office of Jill Ravitch, the Sonoma County District Attorney, the state-wide ban on price gouging in the wake of October’s firestorms remains in effect, and will be almost until the end of the year.

Ravitch cited an April 13 executive order issued by Gov. Jerry Brown, which extended the price gouging protections under Penal Code 396 through Dec. 4, 2018.

Brown’s recent action re-enforced his first extension of Penal Code 396, which specifies only a 30 day period following a declared emergency. His first executive order, issued Oct. 18, extended the period an additional five months, to April 18, 2018.

California Penal Code Section 396 generally prohibits charging a price that exceeds by more than 10 percent, the price of an item before a state or local declaration of emergency. This law applies to those who sell food, emergency supplies, medical supplies, building materials and gasoline.

The law also applies to repair or reconstruction services, emergency cleanup services, transportation, freight and storage services, hotel accommodations and rental housing. With respect to rentals, this means that property owners may not increase the price of rental housing by more than 10 percent of the rental price charged prior to the fires.

Violators of the price gouging statute are subject to criminal prosecution that can result in a one-year imprisonment in county jail and/or a fine of up to $10,000. Violators are also subject to civil enforcement actions including civil penalties of up to $5,000 per violation, injunctive relief and mandatory restitution.

“There are many factors that go into evaluating whether the price gouging prohibitions have been violated,” Ravitch’s statement continued. “The fact that a price has increased or is greater than what other similar establishments charge is not the sole determining factor. Many times, there are legitimate reasons such as increased costs that may justify a price increase.”

Accordingly, the District Attorney’s office requests any documentation regarding price gouging accompany a complaint made to the office. Complaints can be made on the District Attorney’s website at http://sonomacounty.ca.gov/District-Attorney/, or by calling (707) 565-5317.

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