Minnesota 2023-2024 Regular Session

Minnesota Senate Bill SF3909

Introduced
2/19/24  
Refer
2/19/24  

Caption

Abnormal market disruption and unconscionably excessive price prohibition application modification

Impact

The implementation of SF3909 is expected to provide clearer guidelines for businesses while also enhancing consumer protections against excessive pricing during abnormal market conditions. The bill proposes changes to existing statutes, intending to balance the need for economic stability with the necessity of providing adequate protection for consumers who may be vulnerable to price exploitation during crises. This revision could have widespread implications for how businesses price their goods and services in fluctuating markets.

Summary

SF3909 addresses the modification of applications regarding abnormal market disruption and the prohibition of unconscionably excessive prices. The bill aims to clarify and adjust regulatory measures concerning pricing behaviors during significant market fluctuations, particularly in times of crisis, such as natural disasters or economic downturns. Through these modifications, the legislation seeks to protect consumers from predatory pricing practices that could arise when supply chains are severely disrupted.

Sentiment

Sentiment around SF3909 is largely positive, particularly among consumer advocacy groups who support stronger protections against price gouging. Proponents argue that the bill represents a crucial step in safeguarding average citizens from excessive prices during periods when they are most vulnerable. However, there are concerns from some business representatives who fear that overly restrictive measures could discourage market participation and exacerbate shortages, raising questions about the feasibility of their compliance during challenging economic times.

Contention

Key points of contention in discussions around SF3909 include the difficulty in defining 'unconscionably excessive prices' and the potential impacts the bill may have on market dynamics. Critics argue that such subjective language could lead to inconsistent enforcement and confusion among businesses and consumers alike. Additionally, opponents stress that the bill could impose undue burdens on businesses that rely on flexible pricing strategies to manage their operations effectively. Striking a balance between consumer protection and business viability remains a focal point of debate among stakeholders.

Companion Bills

MN HF3526

Similar To Application of abnormal market disruption and unconscionably excessive price prohibition changed.

Previously Filed As

MN HF3526

Application of abnormal market disruption and unconscionably excessive price prohibition changed.

MN HF6

Price gouging prohibited during an abnormal market disruption, and penalties prescribed.

MN SB1188

Price regulation; abnormal market disruptions

MN A4513

Prohibits excessive price increases during period of declared abnormal market disruption.

MN HB24

Relating to restrictions on the prices of certain consumer goods and services during an abnormal disruption of the market.

MN HB765

Relating to restrictions on the prices of certain consumer goods and services during an abnormal disruption of the market.

MN SB487

Relating to restrictions on the prices of certain consumer goods and services during an abnormal disruption of the market.

MN SF6

Price gouging prohibition

MN HB5897

Trade: business practices; excessively increased pricing for energy products and services during a market disruption; prohibit. Creates new act. TIE BAR WITH: SB 0954'24, SB 0955'24

MN SB0956

Trade: business practices; excessively increased pricing for energy products and services during a market disruption; prohibit. Creates new act. TIE BAR WITH: SB 0954'24, SB 0955'24

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